A disciplinary action taken by the Financial Industry Regulatory Authority against former Dublin, Ohio broker and investment advisor Sam Aziz...Read More
Charles M. Anderson: Pennsylvania Financial Advisor Formerly of Morgan Stanley Suspended by FINRA
Financial advisor Charles Anderson, formerly of Morgan Stanley and Pursche Kaplan Sterling Investments in Pennsylvania (not to be confused with an advisor by the same name it Atlanta), was suspended by FINRA for four months and fined $5,000. According to FINRA, from July 2012 to December 2014, Anderson engaged in “unsuitable” short-term trading of Unit Investment Trusts (“UITs”) in customer accounts. Unit Investment Trusts are a type of investment company, similar to a mutual fund, but typically with a fixed offering size.
Anderson was discharged from Morgan Stanley in June 2017 for what appears to be the same conduct: “concerns relating to nature of UIT activity and client confirmations of trades.”
According to FINRA, Anderson “engaged in an unsuitable pattern of short-term trading of UITs in 116 customer accounts.” UITs are not suitable for short-term trading due to their front-end “sales charges” or commissions. Short-term or in-and-out trading causes high levels of commissions and makes it difficult for the customer to earn a profit. According to FINRA, Anderson recommended clients sell their UITs before maturity, and on 26 occasions, recommended his customers then purchase more UITs with the same investment objectives.
Charles Anderson was employed with Morgan Stanley from June 2009 to July 2016, and Pursche Kaplan Sterling Investments from August 2016 to September 2017. He is currently not licensed in the securities industry.
Charles Anderson previously received one customer complaint in 2001 alleging unsuitable trades. The $135,000 claim was settled for $47,000.
If you believe you were a victim of unsuitable trading or securities fraud, call Chase Carlson for a free consultation at: 888-976-6111.