Steven Musielski Investment Losses as a Cambria Capital Customer?
FINRA Bars Former Cambria Capital Broker for Refusal to Provide Documents and Information in Investigation (“Steven Musielski Investment Losses Investigation”)
National investor fraud law firm, KlaymanToskes (“KT”), has commenced an investigation (“Steven Musielski Investment Losses Investigation”) into former Cambria Capital broker Steven D. Musielski (CRD #2128821) light of a disciplinary bar disclosed by FINRA.
Steven Musielski Investment Losses Investigation and November 2021 FINRA AWC
According to a FINRA Letter of Acceptance, Waiver and Consent, the financial regulator barred former Cambria Capital broker for his refusal to produce outstanding information or documents requested by FINRA. The FINRA requests relate to its investigation into Musielski’s sales practice activity.
Specifically, the request sought to investigate Musielski’s potential exercise of discretion without written authorization, potential excessive trading, and potentially unsuitable investments in leveraged and inverse-leveraged securities.
What Are Unsuitable Investment Recommendations?
Brokerage firms and its financial advisors must only recommend suitable investments to their customers. Unsuitable investment advice is an investment recommendation that is not consistent with an investor’s investment objectives, risk tolerance and investment time horizon.
FINRA established a “suitability” rule which requires brokerage firms and its financial advisors to have a “reasonable basis” for recommending investments or investment strategies, as suitable based on a customer’s investment profile.
The rule requires “reasonable diligence” to gather all necessary information to formulate a basis for recommendations based on the following customer investment profile information:
- other investments;
- employment status;
- tax status;
- investment objectives;
- financial situation and needs;
- investment experience;
- investment time horizon;
- liquidity needs;
- risk tolerance, and
- any other information disclosed by customer in connection with recommendation.
Cambria Capital Terminated Steven Musielski for Potential FINRA Rule Violations in August 2021
According to FINRA BrokerCheck, Cambria Capital terminated the Anaheim, California-based broker on August 10, 2021. The allegations relate to Musielski’s potential violation of industry rules and/or firm policies and procedures regarding use of time and price discretion.
Registration History of Steven Musielski
Steven Musielski was most recently registered with Cambria Capital, LLC (Anaheim, CA) from January 2019 to September 2021. His other recent registrations include:
- Spencer Edwards, Inc. (11/14/2013 – 12/31/2018; Placentia, CA)
- J.P. Turner & Company, LLC (03/23/2010 – 11/12/2013; Placentia, CA)
- Gunnallen Financial, Inc. (09/24/1998 – 03/26/2010; Placentia, CA)
Steven Musielski Investment Losses Investigation
Former customers of former Cambria Capital broker Steven Musielski with investment losses exceeding $100,000, and those with information about how he handled accounts, is encouraged to contact Lawrence L. Klayman, Esq. at (561) 542-5131, and download our Special Investor Report.
KT 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. KT has recovered more than $225 million for investors in FINRA arbitrations. KT has office locations in California, Florida, New York, and Puerto Rico.