Kenneth Diblasi Allegedly Violated FINRA Rule 2111

Kenneth Diblasi (CRD #: 5664466), a broker registered with Morgan Stanley, allegedly failed to act in his client’s best interest, according to his BrokerCheck record, accessed on September 10, 2022. Read on if you have questions about his conduct as a broker.

Investor Dispute

On June 7, 2022, an investor alleged that, among other things, Kenneth Diblasi recommended he liquidate his entire account before transferring to Morgan Stanley in 2020, and that this recommendation was not in his best interest. This dispute was denied by the firm.

However, investors should know that firms can deny disputes without allowing an outside review. Investors can still pursue FINRA arbitration following a denial and potentially recover their losses.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to evaluate whether an investment or investment strategy fits their investor’s financial goals. Brokers must examine the investor’s profile, which contains information on their age, tax status, and risk tolerance. 

Investors who lose money due to unsuitable investment recommendations may be able to recover their losses through FINRA arbitration – investors should know that most firms require investors to use arbitration instead of suing in civil court. 

Background Information

Kenneth Diblasi has passed the following exams:

• Series 66 – Uniform Combined State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 31 – Futures Managed Funds Examination
• Series 7 – General Securities Representative Examination

Kenneth Diblasi is a registered broker in 36 states and the District of Columbia. He is also a registered investment adviser in Maryland and Texas.

Kurta Law Can Help

If you worked with Kenneth Diblasi and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm and exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf.