There are options for clients of Sanford C. Bernstein & Co., LLC broker Mary Best (CRD# 4389355) who lost money due to unsuitable investment recommendations. She has been registered with Sanford C. Bernstein & Co., LLC in Washington, DC, since 2011 and with AllianceBernstein L.P. in Washington, DC, since 2011.
Public records indicate that the broker is an unnamed respondent in a recent FINRA arbitration claim alleging the broker recommended a couple invest in the Sanford C. Bernstein & Co. & AllianceBernstein LP Options Advantage Strategy, resulting in about $500,000 in losses. It is alleged that the firm presented the Options Advantage Strategy as a tool to earn 1-2% annual returns on assets in a low-risk, low-volatility, cash-free manner that utilized margin already with the firm rather than necessitating the investor to have to deposit additional monies. Additionally, it is reported that the firm utilized speculation and discretion of markets through the sale of S&P 500 call-and-put options; these were risky bets on market index movements, utilizing margin leverage. Bernstein later conceded that this strategy was inappropriate for volatile market conditions. As a result of this strategy, investors across the country suffered significant investment losses.
It is further alleged that between 2018 and 2022, the firm misrepresented and omitted critical information when marketing its Options Advantage Strategy to its clients. Brokers allegedly received higher commissions, while their customers suffered staggering losses.
In October 2022, after the firm sent a letter to investors stating that the strategy was not appropriate for volatile markets, the firm discontinued the Options Advantage Strategy.
Mary Best Customer Complaints
She has been the subject of one customer complaint, according to her CRD report:
February 2023. “The Customer alleged unsuitable investment recommendations.” The customer is seeking $489,703.26 in damages; the case is currently pending. The complaint was regarding alternative investments, which occurred while he was registered with Sanford C. Bernstein & Co., LLC.
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, Sanford C. Bernstein & Co., LLC may be liable for investment or other losses suffered by Mary Best’s customers.
Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If you 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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