Seth Stewart Allegedly Made Unsuitable Investment Recommendations

Seth Stewart (CRD #: 5467292), a former broker, is involved in several pending disputes, according to his BrokerCheck record, accessed on April 21, 2022. To learn more about Seth Stewart’s conduct as a broker, keep reading.

Allegations of Unsuitable Investment Recommendations

Seth Stewart is facing several pending disputes filed from 2019 to 2022 alleging he recommended unsuitable, illiquid, and high-risk investments. Collectively, investors seek $700,000 in damages.

FINRA Rule 2111

FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile. An investor’s profile includes information about their risk tolerance, financial goals, and age. Investors who rely on their brokers for recommendations may be able to recover their losses through FINRA arbitration.

• Investments can be unsuitable because they are high risk and likely to lose money.
• Securities may also be unsuitable because they are illiquid, meaning that they are intended to be held for an extended time, and investors may have to pay high fees to cash out.
• Securities can be quantitatively unsuitable, which means that brokers executed an excessive number of trades.
• These requirements apply to the overall investment strategy as well as the investments themselves. For instance, an investment strategy might be unsuitable if the securities are over-concentrated in a particular stock or sector.

Background Information

Seth Stewart has passed the following exams:

• Series 63 – Uniform Securities Agent State Law Examination
• Series 65 – Uniform Investment Adviser Law Examination
• Series 7TO – General Securities Representative Examination
• SIE – Securities Industry Essentials Examination
• Series 7 – General Securities Representative Examination

He has also worked for American Equity Investment Corporation (CRD#: 40199) and Center Street Securities (CRD#: 26898).

Kurta Law Can Help

If you worked with Seth Stewart 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