The world of investments is filled with risks, rewards, and unscrupulous financial advisors who may not always have your best interests at heart. This brings us to the case of Jason Lowther, a registered broker with Concorde Investment Services. A dispute has arisen clouding his once deemed reliable reputation.
The Gravity of the Allegations
On September 19, 2024, an investor brought forward allegations against Lowther, accusing him of making unsuitable and misleading recommendations. This substantial claim has caused ripples in the investment community, shaking investor confidence, and casting a suspicious spotlight on Mr. Lowther. The investor in question is seeking $125,000. This total may seem insignificant in the grand scheme of financial commitments, but it perfectly encapsulates the profound impact such misleading advice can have on individual investors. This unfortunate case serves as a reminder to all potential and existing investors about the pitfalls of blindly trusting the advice from financial advisors without doing their research. As Bernard Baruch aptly stated, “The main purpose of the stock market is to make fools of as many men as possible.”
Who is Jason Lowther?
Jason Lowther, holding a FINRA CRD #: 2606268, is not a newcomer to the vast world of investments. He has a substantial experience of 27 years during which he has associated himself with ten investment firms, the most recent ones being Concorde Investment Services, Western International Securities, Accelerated Capital Group, LPL Financial, and VSR Financial Services. Over this prolonged tenure, the pass record of the various examinations such as Series 63 Uniform Securities Agent State Law Examination, SIE – Securities Industry Essentials Examination, Series 7 General Securities Representative Examination has helped establish him as a registered broker in five states. Though his credentials are impressive, this case shows that even seasoned professionals such as Lowther can falter and stumble.
Understanding FINRA Rule 2111
Understanding the intricacy of the accusation against Lowther requires a basic knowledge of FINRA Rule 2111. This rule, fondly known as the Suitability Rule, makes it obligatory for brokers to modify their investment advice according to the unique needs and circumstances of individual investors. In simple terms, it sets the expectation that brokers will consider the following investor characteristics while making their recommendations:
– Age
– Risk tolerance
– Time horizon
– Investing experience
– Tax status, and
– Financial goals
Any investment advice that does not adhere to these guidelines is deemed unsuitable. Those at the receiving end of such recommendation can recover their losses through FINRA arbitrations, as illustrated in the case of Lowther.
The Aftermath and Lessons Learned
The unfolding of these events undoubtedly played a substantial part in tarnishing Mr. Lowther’s reputation. Though these accusations are still under investigation, it brings to light the vital importance of investor education and vigilance. Notably, a whopping 56.3% of financial advisors surveyed in 2016 have been the subject of a consumer complaint, disciplinary action, or investigation into fraudulent activities at least once during their career. This staggering statistic emphasizes that no investor, seasoned or new to the game, should ever let down their guard when dealing with financial advisors.
As the dust settles on this unfortunate episode, it should serve as a critical reminder about the sanctity and responsibility entrusted to investment advisors. Guiding investors through the tumultuous seas of financial markets is a challenging task, requiring honesty, integrity, and genuine concern for the investor’s welfare.
The story of Jason Lowther should not be one of blame and skepticism but one with lessons and hope. Ferris Bueller once said, “Life moves pretty fast. If you don’t stop and look around once in a while, you could miss it.” The same could be said about your investments. Keep a keen eye on them, ask questions, stay informed, and don’t be afraid to pull the reins in when necessary.
