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Morgan Stanley Ordered to Pay $1.8 Million to Investor

Posted on September 7th, 2023 at 4:08 PM
Morgan Stanley Ordered to Pay $1.8 Million to Investor

From the desk of Jim Eccleston at Eccleston Law 

In a recent decision, three arbitrators from the Financial Industry Regulatory Authority (FINRA) ordered Morgan Stanley to pay $1.8 million in damages to a former customer.

The customer had asserted that two of the firm's advisors mishandled her portfolio, overconcentrating her investments in WisdomTree Investments Inc. stock from 2011 to 2020.

The arbitration panel also rejected a request to expunge the advisors’ records. According to AdvisorHub, a Morgan Stanley spokesperson expressed disappointment with the Award, noting that the client and the advisors had discussed the concentrated position frequently.

 

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

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