Jonathon Mark Webster (CRD #1286778) Has Regulatory, Customer Dispute, and Financial Disclosures on FINRA BrokerCheck

Jonathon Mark Webster (CRD #1286778) was previously registered as a broker. We reviewed his BrokerCheck report on February 4, 2026. It reflects one regulatory event, one employment termination, one customer dispute, and one financial disclosure. If you invested with Jonathon Webster and have concerns, keep reading.

BrokerCheck link: BrokerCheck

BrokerCheck report: BrokerCheck Report (PDF)

Regulatory Action(s)

Jonathon Webster’s FINRA BrokerCheck report reflects one regulatory action disclosure. A summary is below:

On January 22, 2026, FINRA reported a final regulatory action against Jonathon Webster. BrokerCheck lists the matter as resolved through an Acceptance, Waiver & Consent (AWC). It states that Webster consented to findings that he willfully violated the Care Obligation under Exchange Act Rule 15l-1(a)(1) (Reg BI). FINRA stated that he recommended that 19 retail customers, including at least 13 seniors, buy stocks in commission-based brokerage accounts instead of their existing fee-based advisory accounts. BrokerCheck states the strategy generated $121,725.58 in commissions that customers would not have paid in the advisory accounts. The firm later refunded the commissions and rebilled the trades, according to BrokerCheck. FINRA imposed a seven-month suspension in all capacities from February 2, 2026 through September 1, 2026. In light of Webster’s financial status, BrokerCheck states no monetary sanction was imposed.

Employment Separation

Jonathon Webster’s FINRA BrokerCheck report reflects one employment separation disclosure. A summary is below:

On January 18, 2024, Stifel, Nicolaus & Company, Incorporated discharged Jonathon Webster. The firm reported that he placed trades for customers in newly opened commission-based accounts that should have been placed in existing fee-based accounts.

Investor Disputes / Customer Complaints

Jonathon Webster’s FINRA BrokerCheck report reflects one customer dispute disclosure. A summary of the dispute is below:

On May 24, 2010, a customer alleged that Jonathon Webster made unsuitable recommendations involving equities. The customer sought $1,900,000 in damages. BrokerCheck lists the dispute as settled for $200,000. Jonathon Webster’s statement says the customer withdrew the case against Citigroup Global Markets Inc. His statement also says the firm made a business decision to resolve the matter rather than proceed with litigation.

Financial Disclosures

Jonathon Webster’s FINRA BrokerCheck report reflects one financial disclosure. A summary is below:

BrokerCheck states that on April 18, 2025, Jonathon Webster reported a pending bankruptcy filing.

Rule Summary #1: FINRA Rule 2111 (Suitability)

FINRA Rule 2111 requires a reasonable basis for each recommendation. When a strategy increases costs or commissions, suitability questions often focus on whether the recommendation fit the customer’s profile and objectives.

Rule Summary #2: FINRA Rule 3110 (Supervision)

FINRA Rule 3110 requires firms to maintain a supervisory system designed to achieve compliance with securities laws and FINRA rules. If recommendations create avoidable fees, firms may face questions about oversight and review of the activity.

Why This Matters to Investors (Regulation Best Interest)

Regulation Best Interest (Reg BI) is a U.S. securities regulation. It strengthens the standard of conduct that broker-dealers owe to retail investors. It applies when they recommend securities transactions or investment strategies. The U.S. Securities and Exchange Commission adopted Reg BI. It became effective on June 30, 2020. Reg BI aims to protect investors while preserving access to brokerage products and services.

Reg BI requires broker-dealers and financial advisors to act in a retail customer’s best interest at the time of a recommendation. They must not place their own financial or other interests ahead of the customer’s. This standard is higher than the older “suitability” rule. Suitability meant a recommendation only had to be appropriate. It did not have to be the best option or free of conflicts.

Reg BI has four key obligations:

Disclosure Obligation – Broker-dealers must disclose material facts about the relationship and the recommendation. This includes fees, the scope of services, and conflicts of interest.

Care Obligation – Broker-dealers must use reasonable diligence, care, and skill. They must consider costs, risks, and alternatives when making a recommendation.

Conflict of Interest Obligation – Firms must identify conflicts of interest. They must disclose them and mitigate or eliminate them. This includes conflicts that create incentives to favor one product over another.

Compliance Obligation – Firms must maintain policies and procedures. Those policies should be designed to ensure compliance with Reg BI as a whole.

Reg BI applies to each recommendation. It is not a continuous duty like the fiduciary standard for registered investment advisers. Even so, it narrows the gap. It puts more focus on costs, conflicts, and investor-focused decision-making.

Overall, Regulation Best Interest promotes transparency. It also aims to improve the quality of investment recommendations. It is designed to reinforce trust between retail investors and broker-dealers in the U.S. securities markets.

Background Information (from BrokerCheck)

Based on his FINRA BrokerCheck report, Jonathon Webster:

Is not currently registered as a broker.

Has passed the Securities Industry Essentials (SIE) exam. Jonathon Webster has passed Series 7 and Series 3. He has also passed Series 65 and Series 63.

Was previously registered with firms that include Stifel, Nicolaus & Company, Incorporated, Wells Fargo Clearing Services, LLC, and Citigroup Global Markets Inc.

Kurta Law Can Help

If you have worked with Jonathon Webster and you have concerns about his activity, Kurta Law may be able to help you evaluate your legal options. To speak with Kurta Law, call 877-600-0098 or email info@kurtalawfirm.com.

Helpful resources: Churning | Securities Attorney

For nearly 20 years, Kurta Law has advocated for investors and helped hold financial professionals accountable. Our firm represents clients nationwide in securities arbitration and related disputes. If you believe a broker or firm mishandled your account, an attorney can review the facts and explain possible next steps.