Triad Advisors

Triad Advisors (CRD #: 25803) has 13 disclosures on its FINRA BrokerCheck record. Investors should be aware that the firm also employs brokers who have histories of misconduct allegations.

It has headquarters in Norcross, Georgia and first registered with the SEC in 1990. Triad Advisors currently offers both brokerage and investment advisory services.

Triad Advisors: Osaic Wealth and Other Names

Triad Advisors is rebranding as “Osaic Wealth.”

Triad Advisors does business or has done business under 146 other names, including the following:

• Able Financial Services
• South Florida Wealth Management
• Sobrinski Financial Services
• Sinclair Financial Group
• Sikich Financial
• Shirazi Benefits
• Schuler Investment Services
• Sandstone Advisor
• Sandefur & Associates
• Rose Financial Group
• Roman, Butler, Fullerton & Co.

For a complete list, visit the firm’s profile on FINRA BrokerCheck.

What Types of Products Does Triad Advisors Offer?

The firm’s offerings include, but are not limited to the following:

• Stocks and bonds
• Variable annuities
• Mutual funds
• Exchange-Traded Funds
• Direct Participation Programs
• Alternative investment products
• Variable life insurance
• Unit Investment Trusts (UITs)
• 529 plans
• Retirement plan consulting services and products

Triad Advisors Regulatory Actions

Investors should review Triad Advisors’ three most recent regulatory actions. There are 10 other disclosures on its record and you can see a complete list in the firm’s detailed BrokerCheck record.

Alleged Failure to Supervise Recommendations of an Alternative Mutual Fund

On December 6, 2021, Triad Advisors entered into an Acceptance, Waiver and Consent agreement with FINRA. AWCs allow firms to settle with FINRA without admitting or denying their findings. Through the AWC, Triad Advisors consented to the findings that it failed to reasonably supervise representatives who recommended shares of an alternative mutual fund. The mutual fund allegedly sought to generate returns for investors with a risky uncovered options trading strategy.

Failure to Supervise

FINRA Rule 3110 requires that firms establish systems of supervision over their employees in order to detect and prevent violations of securities regulations. Among other things, firms must appoint supervisors and ensure that they have adequate training or experience.

Terms of the AWC

As part of the terms of the AWC, Triad Advisors agreed to pay a $195,000 fine as well as a restitution payment of $510,256.57.

Alleged Failure to Supervise Mutual Fund Switches and Variable Annuity Exchanges

On January 25, 2021, Triad Advisors entered into an Acceptance, Waiver and Consent agreement with FINRA in which the firm consented to the findings that it failed to maintain a reasonable supervisory system to monitor short-term and unsuitable switching of mutual funds.

Mutual fund switching occurs when a customer sells shares of one mutual fund in order to buy shares of another mutual fund. The transaction costs make these types of switches unsuitable for many investors, meaning that they do not fit the investor’s financial goals and risk tolerance.

The firm also consented to the findings that it failed to monitor switches of variable annuity contracts. FINRA Rule 2330 requires brokers to have a reasonable basis to believe that their recommendation of a deferred variable annuity is suitable for the investor.

Terms of the AWC

As part of the terms of the AWC, the firm consented to a $150,000 fine and a restitution payment of $43,998 plus interest.

Alleged Failure to Apply Unit Investment Trust (UIT) Discounts

On March 3, 2016, Triad Advisors entered into an Acceptance, Waiver, and Consent agreement in which the firm consented to the findings that it failed to ensure that customers received sales charge discounts on all eligible Unit Investment Trust (UIT) purchases. Certain UIT purchases qualify for “breakpoint” discounts, such as when the investor increases the size of their investment in a particular UIT. Triad Advisors’ failure allegedly led to UIT customers paying approximately $102,631.62 in excessive sales charges.

Terms of the AWC

As part of the terms of the AWC, the firm consented to pay a fine of $125,000 and restitution of $102,631.62.

Triad Advisor Broker Allegations of Misconduct

The Form CRS suggested the following conversation starter: “Do you have any disciplinary history? For what type of conduct?”

Here are a few examples of investor complaints involving Triad advisors. This is by no means a complete list.

• One Triad Advisor is the subject of multiple six-figure disputes.
• Another Triad advisor was barred by FINRA following allegations of a type of securities fraud called “cherry picking.”
• Kurta Law is aware of a former Triad advisor who allegedly violated FINRA rules with a recommendation of an unsuitable investment. The dispute settled for $100,000.

Brokerage Service Fees and Conflicts of Interest

Triad charges a variety of fees based on your transactions. These fees create an incentive for you to trade more frequently and in large amounts.

• Commissions: Triad charges commissions based on the dollar-value of the transaction.
• Transaction fees: Triad charges per-transaction fees that vary based on the type of transaction.
• Ticket charges: Triad also charges fees for buying, selling, and exchanging securities.

There are also conflicts of interest associated with the types of investments.

• The firm receives indirect revenue from certain products, such as packaged products and retirement plan partners.
• Triad receives substantial indirect revenue from clearing firms based on the number of accounts and the value of the accounts held by Triad and its affiliates.
• Investment products may provide revenue for Triad or bigger commissions for brokers and therefore create an incentive for Triad representatives to recommend certain products over others.
• Financial professionals may also have conflicts of interest based on incentives for adding assets to Triad platforms, as well as non-cash compensation in the form of gifts, meals, and entertainment. Brokers and investment advisors are required to disclose these conflicts of interest no later than the time they make their recommendations.

What Can I Do If I Suffered Losses with Triad Advisors?

You may be able to recover losses. Our securities attorneys routinely work with investors who have lost money on overly risky investments. Contact our office for a free case evaluation. Call (877) 600-0098 or email info@kurtalawfirm.com.