Alex Williams (CRD# 2646185), a broker and investment adviser based in New York, has received a pending customer complaint. According...Read More
David Fagenson: Boca Raton Financial Advisor Suspended
A disciplinary action taken by the Financial Industry Regulatory Authority against former Boca Raton, Florida broker and investment advisor David Fagenson (CRD# 1652012) suspended him over allegations he engaged in unsuitable trading in three customers’ accounts. A former representative of Newbridge Securities Corporation, Fagenson was suspended for eight months.
According to a Letter of Acceptance, Waiver and Consent (No. 2017052874401) dated November 2018, David Fagenson recommended quantitatively unsuitable trading in the accounts of three customers’ over whose accounts he “exercised de facto control.” FINRA’s findings state that during the period he engaged in unsuitable trading, one customer’s account lost about $283,314, while generating commissions and markups exceeding $260,000 for Fagenson and his firm; the other accounts lost about $239,000 while generating $210,000 in markups and commissions, according to FINRA. As a result of the alleged foregoing conduct, he was suspended for eight months.
David Fagenson’s disclosure records also describe several settled or pending customer complaints against him.
A complaint filed in 2011, for instance, alleged that as a representative of Merrill Lynch he misrepresented material facts, executed unauthorized trades, made excessive transactions, and recommended unsuitable investments. The complaint resulted in an award to the customer of $112,500.
A complaint filed in 2012 alleged that as a representative of Merrill Lynch, he recommended unsuitable investments, executed unauthorized trades, and misrepresented and omitted material facts between 2007 and 2010. The complaint reached a settlement of $35,000.
A complaint filed in 2011 alleged that as a representative of UBS Financial Services and Merrill Lynch, David Fagenson misrepresented the fees and risk of investments, effected excessive trades, and made unsuitable investment recommendations. The complaint reached a settlement of $20,000.
A 2002 complaint alleged that as a representative of Painewebber, he acted negligently and breached his fiduciary duty. The complaint reached a settlement of $30,000.
A pending complaint filed in 2017 alleges that the claimant “was promised a certain rate on his fees in a discretionary account” and “was completely overcharged.” The complaint alleges damages of $100,000.
David Fagenson is currently not registered as a broker or investment adviser. His employment history includes Newbridge Securities Corporation in Boca Raton, Florida, UBS Financial Services, Merrill Lynch, Morgan Stanley DW, Painewebber, Prudential Securities, and Kidder Peabody & Company. He currently holds zero state licenses and has passed three securities industry qualification examinations.