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First Allied Securities Broker Sanctioned for Sale of Unsuitable Exchange Traded Funds

First Allied Securities Broker Sanctioned for Sale of Unsuitable Exchange Traded Funds 150 150 Rex Securities Law

April 21, 2015

Daniel Grieco  entered into a Letter of Acceptance Waiver and Consent (AWC)  with the Financial Industry Regulatory Authority (FINRA) to resolve allegations that he recommended and caused to be executed purchases of leveraged and inverse leveraged exchange traded funds (ETFs) in 15 customer accounts. FINRA alleges that Grieco made the recommendations on non-traditional ETFs to various customers without having reasonable grounds to believe his recommendations were suitable.

According to FINRA, the ETFs were designed to achieve their objectives over the course of a single day, but were actually held for much longer, in some cases as long as five years.

Grieco was fined $7,500 and suspended for 15 days.

Disciplinary Proceeding NO. 2013035076201

Stock brokers have a duty to make recommendations that are suitable for customers, taking into account their age, health, liquid net worth and level of financial sophistication.

According to FINRA records, Grieco has been registered with First Allied Securities since 8/2010. Before that he was registered with Royal Alliance Associates 4/2007-8/2010.

Rex Securities Law , with offices in Boca Raton, FL,  and  Austin, TX,   provides representation to  investors  nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.

Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

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Rex Securities Law

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Florida-561 391 1900 

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