Last Updated: April 2024
StoneX Securities Investigation Summary
Here’s what you need to know about brokerage firm StoneX Securites:
-
- Name: StoneX Securities
- Related & Former Entities: C.G. Maton Financial Services, StoneX Wealth Management, Sterne Agee Financial Services, Southeast Network Equities Group, Sal Financial Services, SA Stone Wealth Management, Investech Capital Corp., Capital Growth Management
- Function: Stock Brokerage Firm
- Direct Owners: StoneX Group, David Bolte, Jay Carter, William Dunaway, Mark Hugo, Charles Lyon, Mark Maurer, Xuong Nguyen, Sean O’Connor, Brian Parker, Joseph Porzio, Steve Ptasinski and Marcus Richardson
- Worldwide Locations: 81 offices, 3,600 employees in 185 countries. Global Headquarters, New York City, USA branch offices in 28 states, Foreign offices in South America, Europe, The Middle East, Africa and Asia-Pacific.
- CRD 18456
- Can StoneX Securities be sued in FINRA arbitration: Yes
- Sanctioned by Securities Regulators: Yes, 9 times.
- Have any customers made complaints against brokers at StoneX Securities: Yes
Discuss your case with experienced investment fraud lawyer Bob Rex at (877) 224-3199 for a free consultation.
StoneX Securities
According to their website, StoneX Securities was founded in 1924 by Saul Stone and is headquartered New York City. In 2020 the company acquired GAIN Capital Holdings, added FOREX.com and City Index and rebranded itself as StoneX. In 2021 StoneX acquired Chasing Returns Limited and a stake in Tigress Partners LLC and in 2022 acquired Cotton Distributors.
StoneX Securities- Regulatory Events
StoneX discloses 9 regulatory events, including:
- 7/2023- The New York State Department of Financial Services (DFS) assessed a monetary fine of $1,350,000 after concluding that the company violated Cybersecurity Regulations requiring the timely filing of notice of a cybersecurity event.
- 5/2017- FINRA censured StoneX and assessed a monetary fine of $122,500 for numerous violations related to inadequate written supervisory procedures and enforcement thereof, including: 1- failing to detect that registered representatives had unreported liens, judgments and outside business activities, 2-failure to ensure suitable concentration levels of customer variable annuity positions.
- 9/2015- FINRA censured StoneX and assessed a monetary fine of $25,000 failing to enforce its written supervisory procedures prohibiting solicitation of inverse of leveraged exchange traded funds (ETFs). A StoneX broker solicited 966 transactions in leveraged and inverse ETFs in contravention of the firm’s written procedures.
- 12/2013- FINRA censured and assessed StoneX a $75,000 monetary fine for deficiencies in the firm’s written supervisory procedures which failed to indentify and prevent unsuitable excessive trading and churning in at least 39 accounts, 30 of which derived from the firm’s Ft. Lauderdale, FL, office.
[LEARN MORE]:
What is Excessive Trading (Churning)?
Churning According to U.S. Securities and Exchange Commission (SEC)
Other Investigations Involving Churning
StoneX Securities- Arbitration of Customers’ Complaints
StoneX Securities discloses four arbitration awards on their CRD, including:
- $315,690 award to a customer alleging unauthorized trading and misrepresentation;
- $182,567 award to a customer alleging omission of fact, failure to supervise and negligence.
[LEARN MORE]:
Other Cases Involving Unauthorized Trading
Should you have a claim for stockbroker malpractice, fraud or negligence for the mishandling of your account, the broker dealer where the stockbroker is registered is liable for those losses under theory that a principal is liable for the damages caused by his agents acting within the scope of their employment.
If your StoneX Securities broker or financial advisor causes damages due to the mishandling of your account, StoneX Securities can be held liable.
See “How to Research Your Broker-What is a CRD?” for instructions on how to access FINRA and SEC regulatory records and learn more about a broker or a broker-dealer firm.
Recover Your Investment Losses With StoneX Securities With Rex Securities Law
If you have suffered investment losses in an account handled by a broker or financial advisor who is currently employed by or previously worked for StoneX Securities, contact us for a complimentary consultation with an experience 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.
