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

Jonathon Mark Webster (CRD #1286778) was previously registered as a broker and has regulatory, customer dispute, employment separation, and financial disclosures on FINRA BrokerCheck. We reviewed his BrokerCheck report on March 11, 2026. It reflects one regulatory event, one customer dispute, one employment separation after allegations, and one pending financial disclosure. If you invested with Jonathon Mark 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 final regulatory event. A summary of the disclosure is below:

On January 22, 2026, FINRA reported that Jonathon Webster consented to findings that he willfully violated the Care Obligation of Regulation Best Interest by recommending a short-term stock strategy in commission-based brokerage accounts instead of lower-cost fee-based advisory accounts for 19 retail customers, including at least 13 seniors. Jonathon Webster’s FINRA BrokerCheck report states the strategy caused $121,725.58 in unnecessary commissions, but the firm refunded those charges and rebilled the trades to advisory accounts. FINRA imposed a seven-month suspension in all capacities from February 2, 2026 through September 1, 2026, and no fine was imposed because of Webster’s financial status. AWC link.

Employment Separation

Jonathon Webster’s FINRA BrokerCheck report reflects one employment separation after allegations. A summary appears below:

On January 18, 2024, Stifel, Nicolaus & Company, Incorporated discharged Jonathon Webster. Jonathon Webster’s FINRA BrokerCheck report states the firm said 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, customers alleged Jonathon Webster made unsuitable investment recommendations in their accounts from 2002 through 2009. Jonathon Webster’s FINRA BrokerCheck report lists alleged damages of $1,900,000 and shows the matter settled for $200,000 on March 8, 2012, with no individual contribution by Webster.

Financial Disclosures

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

On April 18, 2025, Jonathon Webster disclosed a pending Chapter 7 bankruptcy in U.S. Bankruptcy Court for the Central District of California in Riverside. Jonathon Webster’s FINRA BrokerCheck report lists docket number 6:25-BK-12475-SY.

Rule Summary #1: FINRA Rule 2111 (Suitability)

FINRA Rule 2111 requires a reasonable basis for a recommendation and a fit with the customer’s investment profile. Disputes about unsuitable recommendations often focus on whether the broker matched the strategy to the client’s needs, costs, and risk tolerance.

Rule Summary #2: FINRA Rule 2010 (Standards of Commercial Honor and Principles of Trade)

FINRA Rule 2010 requires brokers and firms to observe high standards of commercial honor and just and equitable principles of trade. FINRA often cites this rule when conduct falls short of fair dealing with customers.

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:

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

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

Has one disclosed regulatory event, one customer dispute, one employment separation, and one pending financial event.

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: Securities Attorney | Unsuitable Investments

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.