Investors Seek $1 Million in Dispute with Xinxin Lu

Xinxin Lu (CRD #: 6270026), a broker formerly registered with Transamerica Financial Advisors, allegedly overconcentrated clients’ accounts, according to her BrokerCheck record, accessed on August 5, 2022. Keep reading if you have questions about her conduct as a broker.

Investor Dispute

On May 27, 2022, multiple investors filed a dispute alleging that Xinxin Lu overconcentrated their accounts in unsuitable offshore investments, resulting in losses. The clients seek $1,000,000 in damages in this pending dispute.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to recommend securities that sufficiently suit an investor’s financial goals. Brokers must use the information in an investor’s profile, such as their risk tolerance, financial goals, and age when making recommendations.

This also applies to investment strategies. For example, overconcentration in a single stock or sector may be unsuitable because it exceeds an investor’s risk tolerance.

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

Background Information

Xinxin Lu 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 7 – General Securities Representative Examination
• Series 6 – Investment Company Products/Variable Contracts Representative Examination

She has also worked for Transamerica Financial Advisors (CRD#:16164) and Cetera Investment Services (CRD#:15340).

Kurta Law Can Help

If you worked with Xinxin Lu 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.