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Loren Morrison Facing a $1.8 Million Investor Dispute

Oct 14, 2022 Unauthorized Trading

Loren Morrison (CRD #: 4578161), a broker registered with Stifel, Nicolaus & Company, allegedly violated several FINRA rules, according to his BrokerCheck record, accessed on September 3, 2022. Read on to learn more about his conduct as a broker.

Investor Dispute

Allegations filed on August 19, 2022, an investor alleged that Loren Morrison recommended unsuitable investments. The investor is seeking $1,843,116.64 in this pending dispute. 

On June 14, 2022, an investor alleged that Loren Morrison failed to conduct sufficient due diligence before recommending an unsuitable investment. The investor further alleged that Loren Morrison engaged in excessive and unauthorized trading, breached his contract, and acted negligently. This dispute is currently pending.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to match their investment recommendations to investors’ profiles. These profiles contain information such as investors’ age, risk tolerance, and investment goals.

Besides ensuring the suitability of their investment recommendations, brokers must also execute a quantitatively suitable number of trades in clients’ accounts. Excessive trading can reduce or completely cancel out a client’s returns with fees and commissions.

Investors who rely on brokers for recommendations may be able to recoup their losses by pursuing FINRA arbitration.

FINRA Rule 3260

Unauthorized trading violates FINRA Rule 3260, which limits brokers to exercising their trading discretion in pre-approved discretionary accounts.

What qualifies as broker negligence?

Many kinds of broker misconduct can qualify as negligence, ranging from omissions of fact to unauthorized trading. Investors who have lost money through broker negligence may be able to recover their funds by seeking out FINRA arbitration.

Tax Liens

On February 23, 2022, Loren Morrison was penalized with two tax liens totaling approximately $134,496.94.

Background Information

Loren Morrison has passed the following exams:

  • Series 65 – Uniform Investment Adviser Law Examination
  • Series 63 – Uniform Securities Agent State Law Examination
  • SIE – Securities Industry Essentials Examination
  • Series 31 – Futures Managed Funds Examination
  • Series 7 – General Securities Representative Examination

Loren Morrison is a registered broker in 15 states and the District of Columbia. He is also a registered investment adviser in Michigan and Texas.

He has also worked for the following firms:

  • LPL Financial (CRD#:6413)
  • ECHOtrade (CRD#:42239)
  • UBS Financial Services (CRD#:8174)
  • Morgan Stanley DW (CRD#:7556)

Kurta Law Can Help

If you worked with Loren Morrison and you have concerns about your investments, please contact us today at 877-600-0098 or 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.