Stephen Ostrofsky: Cambridge Advisor Faces $198K Complaint

Boynton Beach, Florida financial advisor Stephen Ostrofsky (CRD# 1551279) allegedly recommended unsuitable investments, according to a recent investor complaint. Financial Industry Regulatory Authority records show that he is registered as a broker and an investment advisor with Cambridge Investment Research, doing business as True North Financial Advisors.

Mr. Ostrofsky’s BrokerCheck report discloses one investor complaint. Filed in August 2026, it alleges that as a representative of Cambridge Investment Research, he made unsuitable investment recommendations, misrepresented material facts, and omitted material facts in connection with investments in CMCT preferred stock. The pending complaint alleges damages of $198,000.

Various industry rules protect investors against misleading conduct. FINRA Rule 2020 provides that no broker shall “effect any transaction in, or induce the purchase or sale of, any security by means of any manipulative, deceptive or other fraudulent device or contrivance,” and brokers may not make misrepresentations of material fact about the investments they recommend. Under FINRA Rule 2111, meanwhile, a broker must “have a reasonable basis to believe that a recommended transaction or investment strategy” is appropriate for the customer’s objectives, a basis reached through reasonable diligence into the customer’s investment profile. FINRA Rule 2010 requires representatives to “observe high standards of commercial honor and just and equitable principles of trade.” Brokers who recommend unsuitable investments may be held liable in the event of losses.

According to the Financial Industry Regulatory Authority, Stephen Ostrofsky holds 33 years of securities industry experience. Based in Boynton Beach, Florida, he has been registered as a broker and an investment advisor with Cambridge Investment Research since 2022, doing business as True North Financial Advisors. His past registrations include Kovack Advisors, Kovack Securities, 21st Century Advisors, K.W. Brown, K.W. Brown Investments, MetLife Securities, Metropolitan Life Insurance, MONY Securities, Prime Capital Services, Sigma Financial, MML Investors Services, G. R. Phelps, World Invest, Lincoln Financial Advisors, The Lincoln National Life Insurance, Home Life Insurance, W. S. Griffith, Princor Financial Services, Equico Securities, The Equitable Life Assurance, and Vandeman & Fulton Securities. His credentials include the passage of five securities industry qualifying exams: the General Securities Principal Examination, or Series 24; the Securities Industry Essentials Examination, or SIE; the General Securities Representative Examination, or Series 7; the Uniform Combined State Law Examination, or Series 66; and the Uniform Securities Agent State Law Examination, or Series 63. He holds 3 state licenses. (Information current as of August 16, 2026.)

Carlson Law represents investors throughout the United States in claims against financial advisors and investment firms. If you or a loved one have suffered investment losses, please call us at 888-976-6111 or complete our contact form for a free and confidential consultation.