Yu Li (CRD #6314460) Has an Employment Separation Disclosure on FINRA BrokerCheck

Yu Li (CRD #6314460) was previously registered as a broker and appears on FINRA BrokerCheck with an employment separation disclosure. We reviewed his BrokerCheck report on April 15, 2026. It reflects one employment separation disclosure. If you worked with Yu Li and have concerns, keep reading.

BrokerCheck link: BrokerCheck

BrokerCheck report: BrokerCheck Report (PDF)

Employment Separation

Yu Li’s FINRA BrokerCheck Report reflects one employment separation disclosure. A summary of the disclosure is below:

On February 9, 2026, Merrill Lynch, Pierce, Fenner & Smith Incorporated discharged Yu Li. Yu Li’s FINRA BrokerCheck Report states the reason was conduct including solicitation of no opinion securities. The product type listed is Equity-OTC.

Rule Summary #1: FINRA Rule 2010 (Standards of Commercial Honor and Principles of Trade)

FINRA Rule 2010 requires firms to observe high standards of commercial honor and just and equitable principles of trade. Soliciting securities outside firm-approved channels can raise concerns about whether that standard was met.

Rule Summary #2: FINRA Rule 3110 (Supervision)

FINRA Rule 3110 requires firms to maintain a supervisory system designed to achieve compliance with securities laws and FINRA rules. When a disclosure involves solicitation of unapproved securities, supervision and controls can become a key issue.

Why This Matters to Investors (Regulation Best Interest)

Regulation Best Interest (Reg BI) is a U.S. securities regulation. It strengthens the standard of conduct that broker-dealers owe to retail investors. It applies when they recommend securities transactions or investment strategies. The U.S. Securities and Exchange Commission adopted Reg BI. It became effective on June 30, 2020. Reg BI aims to protect investors while preserving access to brokerage products and services.

Reg BI requires broker-dealers and financial advisors to act in a retail customer’s best interest at the time of a recommendation. They must not place their own financial or other interests ahead of the customer’s. This standard is higher than the older “suitability” rule. Suitability meant a recommendation only had to be appropriate. It did not have to be the best option or free of conflicts.

Disclosure Obligation – Broker-dealers must disclose material facts about the relationship and the recommendation. This includes fees, the scope of services, and conflicts of interest.

Care Obligation – Broker-dealers must use reasonable diligence, care, and skill. They must consider costs, risks, and alternatives when making a recommendation.

Conflict of Interest Obligation – Firms must identify conflicts of interest. They must disclose them and mitigate or eliminate them. This includes conflicts that create incentives to favor one product over another.

Compliance Obligation – Firms must maintain policies and procedures. Those policies should be designed to ensure compliance with Reg BI as a whole.

Reg BI applies to each recommendation. It is not a continuous duty like the fiduciary standard for registered investment advisers. Even so, it narrows the gap. It puts more focus on costs, conflicts, and investor-focused decision-making.

Overall, Regulation Best Interest promotes transparency. It also aims to improve the quality of investment recommendations. It is designed to reinforce trust between retail investors and broker-dealers in the U.S. securities markets.

Background Information (from BrokerCheck)

Based on His FINRA BrokerCheck report, Yu Li:

Is currently registered as an investment adviser representative with Madison Partners in Washington.

Has passed the Securities Industry Essentials (SIE) exam. Yu Li has also passed Series 7, Series 65, and Series 63.

Was previously registered with firms that include Merrill Lynch, Pierce, Fenner & Smith Incorporated, Sovereign Global Advisors LLC, Primary Capital, LLC, and Primary Asset Management, LLC.

Kurta Law Can Help

If you have worked with Yu Li and you have concerns about his activity, Kurta Law may be able to help you evaluate your legal options. To speak with Kurta Law, call 877-600-0098 or email info@kurtalawfirm.com.

Helpful resources: Securities Attorney | Security Fraud

For nearly 20 years, Kurta Law has advocated for investors and helped hold financial professionals accountable. Our firm represents clients nationwide in securities arbitration and related disputes. If you believe a broker or firm mishandled your account, an attorney can review the facts and explain possible next steps.