National investment loss lawyers KlaymanToskes reports broker/investment advisor Adam Anderson (CRD# 5157882) of Ameriprise Financial Services has been suspended from acting as a broker or associating with a broker-dealer firm by the Financial Industry Regulatory Authority (“FINRA”).
FINRA’s decision comes after Anderson failed to provide prior written notice of an outside business activity to his firm. According to FINRA BrokerCheck, Adam Bruce Anderson is currently registered as a broker/investment advisor with Ameriprise Financial Services in Logan, UT.
Investors that suffered losses with Adam Anderson may be entitled to a financial recovery. Contact Lawrence L. Klayman, Esq. immediately at (888) 997-9956 or lawrence@klaymantoskes.com to discuss your recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
On September 25 2023, FINRA’s Department of Enforcement entered into a Letter of Acceptance, Waiver, and Consent (“AWC”) with Adam Anderson, disclosing that he consented to sanctions of a one-month suspension from associating with any FINRA member in all capacities, and a $5,000 fine.
According to the AWC, between August and September 2021, Anderson engaged in an unapproved outside business activity by “assisting in the creation of a reinsurance company and entering into a contract as the President of that company to provide reinsurance coverage on enterprise risk management insurance policies that Anderson’s separate limited liability company purchased from an insurance company.”
FINRA’s investigation found that in December 2021, Anderson’s reinsurance company was paid $197,500 in premiums by the insurance company. Anderson allegedly did not provide any prior written notice to Ameriprise before engaging in the insurance-related outside business activity, and also falsely stated on his Ameriprise annual attestation that he had in fact disclosed all outside business activities.
Anderson violated FINRA Rule 3270 (Outside Business Activities of Registered Persons) by violating Ameriprise’s written supervisory procedures that prohibited associated individuals from engaging in any outside business activity without first providing written notice and obtaining approval from the firm.
In accordance with FINRA Rule 3270, all financial professionals are required to report and receive approval from their brokerage firm before engaging in any business activity outside of his/her relationship with the firm.
A violation of FINRA Rule 3270 also constitutes a violation of FINRA Rule 2010, which requires registered representatives and associated persons to “observe high standards of commercial honor and just and equitable principles of trade” in the conduct of their securities-related business.
According to FINRA, brokerage firms such as Ameriprise Financial Services, LLC are responsible for the supervision of all of the activities of their registered brokers/financial advisors. Investors may be entitled to a financial recovery if their brokerage firm failed to supervise the representative managing their brokerage account, and/or if their broker/advisor made unsuitable investment recommendations.
Investors that suffered losses with Adam Anderson may have recovery options. Contact attorney Lawrence L. Klayman, Esq., at 888-997-9956 for a free consultation to discuss your legal options, or by email at lawrence@klaymantoskes.com. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.
KlaymanToskes, P.A.
Lawrence L. Klayman, Esq.
888-997-9956
lawrence@klaymantoskes.com
www.klaymantoskes.com