Renato Estefano Allegedly Set Up Unapproved Risk Profile for Investors

Renato Estefano (CRD #: 5252944), a broker registered with Jefferies, was recently involved in an investor dispute, according to his BrokerCheck record, accessed on December 13, 2022. Investors may have also engaged his services through Leucadia Asset Management. If you have questions about Renato Estefano’s alleged conduct as a broker, keep reading.

Investor Dispute

On September 13, 2022, multiple investors alleged that, in May 2019, Jeffries allowed Renato Estefano to set up a risk profile the firm did not approve, leading to losses in the clients’ accounts. The risk profile allegedly set their risk objective as speculative rather than conservative.

The clients sought $1,362,165.80 in damages but the firm denied the dispute.

However, investors should be aware that firms don’t need to allow an external review before denying a dispute. Investors can still pursue FINRA arbitration after a denial and may be able to recover their losses.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to evaluate whether an investment fits their investor’s financial goals. Brokers must consider the information described in an investor’s profile, such as their age, risk tolerance, and other investments.

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

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.

Background Information

Renato Estefano has passed the following exams:

• Series 66 – Uniform Combined State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 3 – National Commodity Futures Examination
• Series 7 – General Securities Representative Examination

Renato Estefano is a registered broker in all 50 states, the District of Columbia, and Puerto Rico. He is also a registered investment adviser in Connecticut.

He has also worked for Merrill Lynch, Pierce, Fenner & Smith (CRD#:7691) and Citigroup Global Markets (CRD#:7059).

Kurta Law Can Help

If you worked with Renato Estefano 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.