Empower Advisory Group terminated financial advisor Eric Handis (CRD #: 2399280) on August 20, 2025, following the emergence of serious allegations related to his conduct. The termination, now disclosed on BrokerCheck and accessed on October 7, 2025, has stirred significant concern in the investment community and highlights the enduring importance of diligence when choosing a financial advisor.
Background: Eric Handis and Empower Advisory Group
Eric Handis began his career in financial services back in 1993. Over his multi-decade tenure, Handis served at several respected firms before joining Empower Advisory Group in 2020. His prior positions include:
- Sterling Capital Management (2015-2020)
- Meridian Wealth Partners (2010-2015)
- First Republic Investment Management (2005-2010)
As an advisor with extensive experience, Handis managed portfolios for a broad range of clients, from individuals to institutions. Yet, this experience did not insulate him from regulatory scrutiny or firm accountability. Understanding an advisor’s employment history and disciplinary background remains essential for investors.
The Allegations Against Eric Handis: A Detailed Examination
According to records from the Financial Industry Regulatory Authority (FINRA), the dismissal of Eric Handis was tied to a series of alleged violations, including:
- Unauthorized trading in client accounts
- Misrepresentation of investment risks
- Failure to maintain proper documentation
- Violations of firm policies regarding client communications
The allegations detail that, between January 2024 and July 2025, Handis purportedly executed trades in multiple client accounts without receiving adequate authorization. Investigations suggest these actions resulted in investor losses exceeding $2.3 million. Several clients reported remaining unaware of these trades until their quarterly statements arrived. The outcome is not only financial, but also emotional stress and uncertainty for the affected investors.
Investment Fraud and Misconduct: Understanding the Risks
Cases like this are an unfortunate reminder of the continuing risk posed by financial misconduct in the investment industry. According to a recent Forbes article on financial fraud, investment-related scams collectively result in billions of dollars in losses for everyday investors each year. The two most common types of advisor misconduct include unauthorized trading and the misrepresentation of investment products—exactly the allegations at the heart of Handis’s termination.
| Type of Misconduct | Potential Investor Impact |
|---|---|
| Unauthorized trading | Unexpected losses, increased risk, legal complications |
| Misrepresentation of risks | Poor investment alignment, loss of trust, possible legal action |
| Inadequate documentation | Difficulty holding advisor accountable, unclear records |
| Violation of communication policies | Misinformation, delays in catching issues |
According to Investopedia, about 8% of U.S. financial advisors have at least one customer dispute or disciplinary event disclosed on their BrokerCheck record. Thus, investor vigilance is not an inconvenience, but a necessity.
FINRA Rules and Eric Handis’s Case
The substances of the allegations point to clear violations of regulatory standards, specifically:
- FINRA Rule 3260: Governs discretionary accounts, requiring advisors to obtain written authorization before trading on behalf of clients.
- FINRA Rule 2010: Mandates all registered representatives to uphold high standards of commercial honor and equitable trade.
Violating these rules can result in termination, regulatory sanctions, and, crucially, customer harm. The disclosure now present on Eric Handis’s BrokerCheck profile serves as a warning to both the advisor and industry peers: compliance is non-negotiable.
Consequences for Eric Handis and Investor Protection Measures
For Eric Handis, the career impact of these allegations is significant. A regulatory disclosure can curtail future employment opportunities and affect public trust. More importantly, such cases bring to the fore the need for robust investor protection strategies. Here are several proactive steps investors should consider:
- Regularly review account statements: Scrutinize all transactions for unauthorized or unfamiliar activity.
- Question unexpected transactions: Communicate with your advisor immediately about any transaction you don’t understand.
- Maintain written communication records: Keep thorough documentation of correspondence with your advisor for future reference.
- Clarify your investment goals and risk tolerance: Ensure they align with actual account activity and documented advice.
- Verify credentials regularly: Use FINRA BrokerCheck or industry watchdog sites like Financial Advisor Complaints to monitor your advisor’s public record.
As Warren Buffett famously remarked, “It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.” The termination of Eric Handis amplifies this lesson, emphasizing the need for trustworthy advisor-client relationships built on transparency and integrity.
Looking Ahead: Regulatory Action and Industry Implications
Although the current disclosure pertains to termination by Empower Advisory Group, regulatory investigations may continue and could result in further sanctions or customer restitution. The situation remains fluid, and affected clients are encouraged to monitor updates and take advantage of available investor resources. For more on understanding disciplinary actions and avoiding advisor misconduct, consider reviewing additional best practices and regulatory guidance available through trusted sources.
The termination of Eric Handis serves as a warning for all investors: be vigilant, stay informed, and always perform thorough due diligence before collaborating with any financial professional. In an industry where trust is paramount, taking these proactive steps helps safeguard your financial future.
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