Steven Netzel Facing New Allegations, Following Six-Figure Settlements
Steven Netzel (CRD#: 2863170), a broker previously registered with Madison Avenue Securities, LLC, is facing allegations of unsuitable investment recommendations. This information is from Steven Netzel’s BrokerCheck record, accessed on March 26, 2022. You can find more information below about Steven Netzel’s conduct as a broker.
Allegations of Unsuitable Investments and Failure to Supervise
On February 9, 2022, an investor alleged that Steven Netzel made unsuitable investment recommendations, as well as material misrepresentations and omissions of material facts. The complaint also alleged failure to supervise. The investor is seeking $155,000; the dispute is pending.
On April 12, 2021, an investor alleged that Steven Netzel made unsuitable investment recommendations. The investor complaint also included overconcentration in illiquid securities, breach of contract, and breach of fiduciary duty. The investor is seeking $425,000; the dispute is pending.
What is an Unsuitable Investment?
FINRA Rule 2111 requires brokers to evaluate whether an investment fits their investor’s financial goals. Brokers must examine the investor’s profile, which contains the following investor characteristics:
- Financial goals
- Risk tolerance
- Time horizon (i.e., how long the investor plans to hold the investment)
- Investing experience
- Tax status
Steven Netzel was subject to five customer disputes in 2019 and 2020, which settled for a total of $479,071.
- On October 22, 2020, an investor filed a dispute alleging breach of contract, breach of fiduciary duty, and failure to supervise. The dispute was settled for $75,000.
- On September 4, 2020, an investor alleged that Steven Netzel recommended unsuitable investments, overconcentration, misrepresentation, and breach of fiduciary duty. The investor sought $250,000; the dispute settled for $65,329.
- On August 22, 2020, an investor filed a dispute alleging unsuitable investment recommendations, failure to supervise, and misrepresentation. The dispute was settled for $111,391.
- On April 21, 2020, an investor alleged that Steven Netzel misrepresented material facts, recommended unsuitable investments, and failed to follow appropriate supervision protocol. The investor sought $500,000; the dispute was settled for $49,851.
- On October 7, 2019, an investor alleged that Steven Netzel made unsuitable investment recommendations. The investor sought $300,000; the dispute settled for $177,500.
Steven Netzel has passed the following exams:
- Series 66 – Uniform Combined State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 7 – General Securities Representative Examination
He has worked for the following firms:
- Madison Avenue Securities, LLC (CRD #: 23224)
- Kalos Capital, Inc. (CRD #: 44337)
- Madison Avenue Securities, Inc. (CRD #: 23224)
Kurta Law Can Help
If you worked with Steven Netzel and have concerns about your investments, please contact us today at 877-600-0098 or firstname.lastname@example.org 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.