FINRA Orders $8.2 Million in Restitution for Mutual Fund Customers

Posted on March 7th, 2025 at 1:59 PM
FINRA Orders $8.2 Million in Restitution for Mutual Fund Customers

From the desk of Jim Eccleston at Eccleston Law

FINRA has directed Edward Jones, Osaic Wealth, Inc., and Cambridge Investment Research, Inc. to pay more than $8.2 million in restitution to customers harmed by failures to provide mutual fund sales charge waivers and fee rebates. Barron’s reports that the order stems from a targeted FINRA examination initiated in 2020, focusing on firms’ compliance with fee waiver and rebate policies.

FINRA found that each firm failed to establish supervisory systems designed to ensure eligible customers received available mutual fund sales charge waivers and fee rebates. According to Barron’s, this oversight resulted in customers paying the following excessive charges:

  • Edward Jones: $4,440,979
  • Osaic Wealth: $3,096,490
  • Cambridge Investment Research: $699,217

In resolving the matter in their AWCs (Acceptance, Waiver and Consents), the firms consented to FINRA’s findings without admitting or denying the charges. The settlement marks the recovery of over $9.5 million in restitution for mutual fund customers across five firms since 2020.

 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law, finra

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