Tim O'Connor's Blog

The Financial Industry Regulatory Authority (FINRA) has fined Wells Fargo Clearing Services, LLC and Wells Fargo Advisors Financial Network, LLC $3.4 Million as required restitution relative to unsuitable recommendations involving volatility-linked Exchange Traded Products (ETP’s) and related supervisory failures related to these investments.   Volatility-linked ETP’s are very complex products, ill-designed for the average investor and […]

In a recent Release, the SEC warned investors about fraudulent schemes involving Over-The-Counter (OTC) stocks.  This warning also included stocks listed on the OTC Bulletin Board (OTSBB) and the OTC Markets Group, Inc. (f/k/a Pink Sheets).  Notably, companies quoted on the OTCBB/Pink Sheets and the OTC Markets are not subject to the more stringent listing […]

In a recent Investor Alert, the Office of Investor Education and Advocacy of the Securities Exchange Commission issued warnings to investors about emerging ponzi schemes utilizing virtual currencies such as Bitcoin to raise money from unsuspecting investors.   Also, in SEC v. Shavers, the SEC noted in its press release its complaint filing against a […]

In an Investor Bulletin entitled “Initial Coin Offerings” the United States Securities and Exchange Commission warned investors about the pitfalls of ICO’s (Initial Coin Offerings) also known as token sales to raise capital.  The bulletin cautions investors to be wary of promises of higher returns which can be used to improperly induce investors to part with […]

At its annual conference held in Washington, DC in May of this year, FINRA included a session to provide guidance for practices at FINRA member firms regarding the use of emerging technology in compliance and operations.  The session included industry experts and FINRA staff in a panel addressing how emerging technologies are being utilized to […]