Last Updated: January 2024 (Miami, Florida)
Felipe Henao Vargas Investigation Summary
Here’s what you need to know about Miami, FL, stockbroker Felipe Henao Vargas:
- Name: Mr. Felipe Henao Vargas
- Current Employer: FINRA has suspended this individual from acting as a broker (details below).
- DBA: 1202 Wealth Management , GCH Advisors Inc.
- Previous Firms: Insigneo Securities, Bolton Global Capital, Merrill Lynch Pierce Fenner & Smith, Global Investor Advisory Services (RIA) , HB Asset Management (RIA)
- Function: Stock Broker/ Financial Advisor/ Registered Investment Advisor
- Aliases: Felipe Henao, Felipe Henos
- Primary Location: Miami, FL
- CRD 5140431
- Can Felipe Henao Vargas be sued in FINRA arbitration: Yes
- Sanctioned by FINRA: Yes-Suspension
- Highest Settlement or Award: $1.075,000
Discuss your case with experienced investment fraud lawyer Bob Rex at (877) 224-3199 for a free consultation.
Did You Lose Money With Felipe Henao Vargas As Your Stockbroker?
In FINRA case 20-02966, the customer of Insigneo Securities alleged damages of $1.3 million for losses resulting from a short trade in Barclays BK VIX Short Term Futures ETN. The customer alleged a lack of communication from Felipe Henao Vargas regarding the trade. The case was settled for $1,075,000 in 12/2021.
In 12/2023 FINRA suspended Vargas for 45 days and assessed a fine of $7,500. Vargas consented to the fine and to the entry of the following findings:
- Vargas exercised discretion without written authorization in the account
- Vargas initiated a substantial short position in a volatile exchange-traded note
- Felipe Henao Vargas aggravated his misconduct by using an unapproved communication channel to exchange messages concerning the trades
Felipe Henao Vargas left the employment of Insigneo Securities in 2/2022.
Allegations of Broker Misconduct Against Felipe Henao Vargas
A customer of Felipe Henao Vargas and FINRA have alleged the following wrongdoing in connection with the handling of customer accounts:
- Unauthorized use of discretion (unauthorized trading)
- Use of an unapproved communication channel
- Initiated a substantial short position in a volatile investment
Firms Have a Duty to Supervise their Financial Advisors (FINRA Rules 3110 & 2090)
Brokers and their firms have a duty to comply with the FINRA suitability rule which requires that they have a reasonable basis to believe that a recommendation is suitable for the customer. FINRA Rule 2111- suitability
What is Short Selling ?
Short selling is an investment strategy that speculates on the decline in the price of the stock. It is considered a very advanced investment strategy typically only engaged in by experienced traders. In short selling, the investor borrows shares of a security from the brokerage firm with the belief that the shares will drop in value. The investor then sells the borrowed shares at market value. If and when the share value drops, the investor will purchase the shares and return them to the brokerage firm, profiting to the extent of the drop in value.
The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.
Recover Your Investment Losses Now With Rex Securities Law
If you have suffered investment losses in an account handled by Felipe Henao Vargas, contact us for a complimentary consultation with an experienced securities lawyer to learn how you may be able to recover damages through FINRA arbitration.
With offices in Boca Raton, FL and Austin, TX, stockbroker fraud attorney Bob Rex provides representation to investors nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers, financial advisors and broker dealers.
If you have questions about how your account has been handled, call (877) 224-3199 to speak with an experienced securities attorney at no cost to you.
Most cases are handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.
