Thomas Bonds Embroiled in $5 Million Unsuitability Dispute
Thomas Bonds (CRD #: 1867556), a broker and investment advisor registered with Morgan Stanley, faces an unsuitability dispute regarding his client's accounts which he managed between April 2015 and September 2021. This is according to his BrokerCheck record, accessed on February 20, 2022.
The investor is seeking $5,000,000一the case is still pending.
FINRA Rule 2111
FINRA Rule 2111. requires registered financial advisors to have a "reasonable basis" to believe that a recommended transaction or investment strategy suits their client's needs.
Types of Suitability Obligations
- Reasonable-basis Suitability: Brokers are required to use reasonable diligence before making a recommendation. This means they have an obligation to understand an investment strategy and its potential risks or rewards.
- Customer-specific Suitability: Before recommending a particular security or investment strategy involving a specific client, brokers are required to have reasonable grounds for believing it will be suitable based on that client's personal profile. The profile includes information on the investor's financial goals, investing experience, and risk tolerance.
- Quantitative Suitability: Brokers with control over a customer's account must have a reasonable basis to believe that the series of transactions they recommend are not excessive before executing them. Excessive transactions run the risk of incurring too many fees and negating any returns.
If you've lost money due to a financial advisor's bad recommendations, do not hesitate to contact an experienced securities attorney as soon as possible. Kurta Law is a nationally recognized securities law firm with over 25 years of experience litigating securities fraud cases.
Thomas Bonds has passed the following exams:
- Series 65 - Uniform Investment Adviser Law Examination
- Series 63 - Uniform Securities Agent State Law Examination
- SIE - Securities Industry Essentials Examination
- Series 3 - National Commodity Futures Examination
- Series 7 - General Securities Representative Examination
- Series 10 - General Securities Sales Supervisor - General Module Examination
- Series 9 - General Securities Sales Supervisor - Options Module Examination
He is a registered broker in 41 states and a registered investment advisor in five states.
Besides Morgan Stanley (CRD#:149777), Thomas Bonds has also worked with the following firms:
- Morgan Stanley & Co. Incorporated (CRD#:8209)
- Morgan Stanley DW (CRD#:7556)
- Merrill Lynch, Pierce, Fenner & Smith Incorporated (CRD#:7691)
- Smith Barney (CRD#:7059)
- Lehman Brothers (CRD#:7506)
Kurta Law Can Help
If you have worked with Thomas Bonds and have concerns about your investments, don't hesitate to contact us today at 877-600-0098 or firstname.lastname@example.org for a free consultation.
For nearly 20 years, Kurta Law has advocated for investors 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.