Brian Engstrom, formerly of Oppenheimer & Co., Suspended Three Months from Securities Industry
Have you lost money with financial advisor Brian Engstrom of Tampa, Florida? We are investigating allegations made by FINRA, the Financial Industry Regulatory Authority, against Brian Douglas Engstrom. FINRA suspended Engstrom from the securities industry for three months and fined him $5,000 after he was alleged to have engaged in short-term trading of Unit Investment Trusts (or UITs) in customer accounts.
UITs are not designed for short-term trading because of their commissions and costs of trading. Between July 2011 and December 2015, Brian Engstrom recommended on numerous occasions that his customers sell their UITs and then purchase new, different UITs. FINRA alleged this to be unsuitable in view of the frequency and costs of trading, which can be as high as 3.95%.
Brian Douglas Engstrom was a financial advisor and registered representative of Oppenheimer & Co. from 2002 to October 2016. Engstrom was also affiliated with Stifel Nicolaus from October 2016 to April 2020. He worked at branch offices in Tampa, Florida. Engstrom has been the subject of at least one customer complaint.
Brokerage firms like Oppenheimer & Co. and Stifel Nicolaus have a responsibility to adequately supervise all representatives who are registered through their firm. Brokerage firms also must take steps to ensure that their financial advisors follow all securities rules and regulations, as well as internal firm policies. When brokerage firms fail to adequately supervise their registered representatives, they may be liable for investment losses sustained by customers.
Israels & Neuman PLC is a securities and investment fraud law firm with offices in Denver, Colorado; Ann Arbor, Michigan; Seattle, Washington; and Phoenix Arizona. We represent investors in FINRA arbitration in all 50 states, including Florida and the Tampa area. Our attorneys have represented over one thousand investors against many firm, including against Oppenheimer & Co. and Stifel Nicolaus.