Investor Alleges Nathanael Downs Recommended Unsuitable Investment
Nathanael Downs (CRD #: 5833891), a broker registered with Cambridge Investment Research, allegedly recommended an unsuitable investment, according to his BrokerCheck record, accessed on August 19, 2022. Investors may have also engaged his services through Cambridge Investment Research Advisors and Duncan Financial Planning Advisors. Read on to learn more about his conduct as a broker.
On May 13, 2022, an investor alleged that Nathanael Downs made an unsuitable investment recommendation for the purpose of generating high commissions and fees. These investments were allegedly overconcentrated and therefore the portfolio was unable to generate the returns of a diversified portfolio. This dispute is pending.
FINRA Rule 2111
FINRA Rule 2111 requires brokers to evaluate whether an investment sufficiently suits their investor’s financial goals. Brokers must consider the information described in an investor’s profile, including their client’s age, risk tolerance, and tax status.
Investment strategies are also subject to this rule. Overconcentration in a particular sector or security can be an unsuitable investment strategy because it comes with a high degree of risk.
Investors who rely on brokers for recommendations may be able to recover their losses by pursuing FINRA arbitration.
Nathanael Downs has passed the following exams:
- Series 66 – Uniform Combined State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 7 – General Securities Representative Examination
Nathanael Downs is a registered broker in 12 states and a registered investment adviser in Idaho, Texas, and Washington.
Kurta Law Can Help
If you worked with Nathanael Downs and you have concerns about your investments, please contact us today at 877-600-0098 or email@example.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.