National investment loss lawyers KlaymanToskes is investigating broker Todd Leighty (CRD# 4409118) of Northwestern Mutual Investment Services.
According to FINRA BrokerCheck, broker Todd Leighty of Northwestern Mutual Investment Services has been suspended by FINRA in connection with findings that that he recommended purchases of variable annuities to three customers without a reasonable basis to believe that the transactions were suitable based on the customers’ age, financial situation and needs, liquidity needs, and investment time horizon, among other factors. FINRA’s findings stated that Leightey’s recommendation to a married couple, one of whom was a senior, to purchase a $100,000 variable annuity contract resulted in more than half of the customers’ net worth being invested in variable annuities.
Investors that suffered losses with broker Todd Leighty are encouraged to contact attorney Lawrence L. Klayman, Esq., at 888-997-9956 or by email at investigations@klaymantoskes.com to discuss potential recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
Financial advisor Todd Leighty, of Northwestern Mutual Investment Services, was suspended for four months and fined $5,000 by FINRA for recommending unsuitable variable annuity transactions to multiple customers. FINRA’s investigation revealed that Leighty failed to consider factors such as customers’ short-term liquidity needs, risk tolerance, investment objectives, and existing account benefits. In one instance, he advised a senior couple to invest $100,000—more than half of their net worth—into a variable annuity despite their intent to use the funds for short-term family support. In another case, he recommended a $6,000 variable annuity within an IRA account that already provided tax-deferred growth, offering no benefit to the customer while subjecting them to higher fees and surrender charges.
FINRA also found that Leighty misrepresented key facts on annuity applications, including falsely stating that customers intended to utilize annuitization and death benefit features, and misstating investment horizons, causing his firm to retain inaccurate records in violation of FINRA Rules 2330(b), 4511, and 2010.
As an investor, there are a few signs that you should look out for if you believe you may have a claim against your financial advisor. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encouraged to contact our firm immediately if you have experienced any of the following:
Some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship. However, it is crucial to remember that financial decisions should be based on careful analysis and due diligence rather than solely relying on personal relationships.
Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced securities attorneys has a deep understanding of this complex area of law, allowing us to provide invaluable insight and tailored guidance that directly addresses your individual needs.
If you suffered losses with broker Todd Leighty, or have concerns regarding your investment portfolio at Northwestern Mutual Investment Services, or with any other financial advisor or firm, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation.