Former Citizens Securities, Inc. Financial Advisor Adam Stuart Fritzsche
Posted on Thursday, May 25th, 2017 at 10:29 am
Erez Law is currently investigating former Citizens Securities, Inc. financial advisor Adam Stuart Fritzsche (CRD# 2821218) regarding unsuitable and overconcentrated investment recommendations. Fritzsche was registered with IFS Securities in Atlanta, Georgia from October 2016 to February 2017. Previously Fritzsche was registered with Citizens Securities, Inc. in New London, Connecticut from 2012 to 2016, before he was discharged for not disclosing liens in a timely manner
In February 2017, Fritzsche was suspended by FINRA for one year after he “consented to the sanction and to the entry of findings that he made unsuitable recommendations to retired and conservative investors that were inconsistent with the customers’ investment objectives and resulted in over-concentration of their liquid net worth in an alternative investment.” According to the Acceptance, Waiver & Consent (AWC), Fritzsche recommended alternative investments that were speculative and illiquid and suitable only as long-term investments for clients of “adequate financial means who had no need for liquidity.” Fritzsche’s investment strategy concentrated his customers’ investments portfolios in a single, high risk and illiquid investment. Additionally, the findings state that Fritzsche misrepresented and inflated the customers’ net worths in his records to circumvent his firm’s procedures.
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, Citizens Securities, Inc. may be liable for investment or other losses suffered by Fritzsche’s customers.
Erez Law represents investors in the United States for claims against former Citizens Securities, Inc. financial advisor Adam Stuart Fritzsche, who is alleged to recommend an unsuitable and overconcentrated investment portfolio. If you were a client of former Citizens Securities, Inc. financial advisor Adam Stuart Fritzsche 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.