WARNING! Investigation of RICHARD SHOTZ, Financial Advisor
Richard Shotz, formerly of Morgan Stanley, Suspended 4 Months from Securities Industry
Have you lost money with financial advisor Richard Shotz of Daytona Beach, Florida? We are investigating allegations made by FINRA, the Financial Industry Regulatory Authority, against Richard Alan Shotz. FINRA suspended Shotz from the securities industry for 4 months and fined him $7,500 after he was alleged to have engaged in short-term trading of Unit Investment Trusts (or UITs) in 486 customer accounts.
UITs are not designed for short-term trading because of their commissions and costs of trading. Over a two-year period between July 2012 and December 2014, Richard Shotz recommended on numerous occasions that his customers sell their UITs and then purchase new, different UITs. FINRA alleged this to be unsuitable in view of the frequency and costs of trading.
Richard Shotz was a financial advisor and registered representative of Morgan Stanley from August 2008 to October 2015. He worked at branch offices in Daytona Beach, Florida. Shotz has been the subject of at least five customer complaints. He was also affiliated with Wells Fargo from October 2015 to the present.
Brokerage firms like Morgan Stanley have a responsibility to adequately supervise all representatives who are registered through their firm. Brokerage firms also must take steps to ensure that their financial advisors follow all securities rules and regulations, as well as internal firm policies. When brokerage firms fail to adequately supervise their registered representatives, they may be liable for investment losses sustained by customers.
Israels & Neuman PLC is a securities and investment fraud law firm with offices in Denver, Colorado; Ann Arbor, Michgan; and the Seattle area. We represent investors in FINRA arbitration proceedings in all 50 states, including investors in Florida. Attorney David Neuman is licensed to practice law in Florida. Our attorneys have represented over one thousand investors against many brokerage firms in the past, including Morgan Stanley.
Click to view: Shotz, Richard FINRA AWC
Click to view: Shotz, Richard BrokerCheck 1.17.18
If you lost money with Richard Shotz or Morgan Stanley, please CONTACT US at 720-599-3505 for a free evaluation of your case.
Israels & Neuman, PLC is a private law firm and is not affiliated with any government or law enforcement agency. Any investigation referenced in this blog is independent in nature and is being conducted by our law firm privately, not in conjunction with any government or law enforcement agency. All information contained in this blog should be deemed statements of opinion derived from the author’s review of public records, not statements of fact. This blog is advertising material and does not create an attorney client relationship, nor does it constitute legal advice. Everyone’s situation is different and the question of whether or not you have a claim will vary on a case-by-case basis. In contingent representation, clients may still be liable for costs.