Erez Law is currently investigating Stifel, Nicolaus & Company, Inc. financial advisor Robert William Berry (CRD# 849285) regarding unauthorized trading in customer accounts. Berry has been registered with Stifel, Nicolaus & Company, Inc. in Fairlawn, Ohio since 2009.
In March 2017, “Berry consented to the sanctions and to the entry of findings that he exercised discretion while effecting transactions, pursuant to a stop-loss strategy, by modifying existing good-to-cancel orders in the securities accounts of multiple customers of his member firm, without obtaining prior written authorization from the customers or prior written approval from his firm.”
According to the FINRA Acceptance, Waiver & Consent (AWC), Berry exercised discretion in 1,502 transactions, pursuant to a stop-loss strategy, between January 2013 and June 2015. FINRA found that Berry had oral authorization to exercise discretion in customer accounts, but he did not obtain written authorization from his customers and Stifel, Nicolaus & Company, Inc. did not approve his use of discretionary trading in those customer accounts. He was sanctioned to pay civil and administrative penalties and fines in the amount of $2,500 and he was suspended for 10 business days.
Berry has been the subject of two customer complaints in 2015 and 1990, according to his CRD report:
- May 2015. “Client alleges unsuitable investments and churning.” The case was denied.
- March 1990. “Customer alleged that Berry made a mistake in placing an order in purchasing three rather than thirty OEX November put option contracts. Alleging $170,000 in damages.” The customer sought $170,000 in damages and the case was settled for $129,000.
Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, Stifel, Nicolaus & Company, Inc. may be liable for investment or other losses suffered by Robert William Berry’s customers.
Erez Law represents investors in the United States for claims against Stifel, Nicolaus & Company, Inc. financial advisor Robert William Berry, who is alleged to use discretion in customer accounts. If you were a client of Stifel, Nicolaus & Company, Inc. financial advisor Robert William Berry or another firm, and have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.