Erez Law is currently investigating former LPL Financial LLC financial advisor Cory Brunell (CRD# 3260340) regarding losses sustained from unsuitable recommendations in inverse exchange traded funds (ETFs). Brunell was registered with LPL Financial LLC in Valley Springs, California from 2007 to 2015.
An inverse ETF is an exchange-traded fund that is traded on a public stock market. It is designed to perform as the inverse of whatever index or benchmark it is designed to track. It is designed to profit from a decline in the value of an underlying benchmark. This is similar to holding various short positions, where investors profit from falling prices.
Brunell has been the subject of eight customer complaints between 2015 and 2017, according to his CRD report:
- April 2017. “Customer alleges that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer is seeking $500,000 in damages and the case is currently pending.
- March 2017. “Customers allege that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer is seeking $1,225,000 in damages and the case is currently pending.
- December 2016. “Customers allege that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer is seeking $1,200,000 in damages and the case is currently pending.
- December 2015. “Customer alleges that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer sought $75,000 and the case was settled for $4,500.
- November 2015. “Customers allege that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer sought $25,000 in damages and the case was settled for $19,000.
- November 2015. “Customer alleges that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer sought $130,000 and the case was settled for $47,800.
- October 2015. “Customers allege that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer sought $230,000 and the case was settled for $57,700.
- October 2015. “Customer alleges that the financial advisor made unsuitable recommendations to invest in inverse leveraged exchange traded funds.” The customer sought $300,000 in damages and the case was settled for $160,000.
Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, LPL Financial LLC may be liable for investment or other losses suffered by Brunell’s customers.
Erez Law represents investors in the United States for claims against former LPL Financial LLC financial advisor Cory Brunell regarding losses sustained from unsuitable recommendations in inverse ETFs. If you were a client of LPL Financial LLC or another firm, and have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.
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