Michael Tannery Allegedly Failed to Disclose Investments’ Risks

Michael Tannery (CRD #: 1538345), a broker registered with Independent Financial Group, allegedly failed to fully disclose risks to a client, according to his BrokerCheck record, accessed on March 7, 2025. Keep reading to learn more about his alleged conduct as a broker.

Investor Dispute

On January 3, 2025, an investor filed a dispute alleging that Michael Tannery recommended unsuitable investments and did not disclose the risks associated with certain investments, such as their illiquidity, in a fair and balanced manner.

They further alleged that he did not fully explain certain investments, including a real estate investment trust (REIT).

The client seeks $150,000 in this pending dispute.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to evaluate whether an investment fits their investor’s financial goals. Brokers must consider the information in the investor’s profile, such as their risk tolerance, tax status, and investing experience when recommending investments.

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

FINRA Rule 2020

FINRA Rule 2020 forbids the use of deceptive, manipulative, and otherwise fraudulent methods to influence the purchase and sale of securities. This includes the misrepresentation or omission of facts related to investments, such as their fees, risks, or limitations.

What are REITs?

Real estate investment trusts (REITs) allow investors to generate returns from a real estate portfolio without taking on the cost and responsibility of managing the properties. However, REITs tend to be illiquid, making them unsuitable for many investors.

Background Information

Michael Tannery has passed the following exams:

• Municipal Fund Securities Principal Examination – Series 51
• General Securities Principal Examination – Series 24
• Securities Industry Essentials Examination – SIE
• General Securities Representative Examination – Series 7
• Direct Participation Programs Representative Examination – Series 22
• Uniform Investment Adviser Law Examination – Series 65
• Uniform Securities Agent State Law Examination – Series 63

Michael Tannery is a registered broker in ten states and a registered investment adviser in Texas.

He has also worked for the following firms:

• LPL Financial (CRD#:6413)
• Prudential Securities (CRD#:7471)
• Merrill Lynch, Pierce, Fenner & Smith (CRD#:7691)
• EquiSource Securities Corporation (CRD#:15730)

Kurta Law Can Help

If you worked with Michael Tannery 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 that 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.