I’m Emily Carter, a financial analyst and writer closely following the developments around broker Tom Kudarauskas of Osaic Wealth. Currently standing at the center of his fourth investor dispute, he’s got the financial community buzzing. This latest news comes off his BrokerCheck record, which I examined closely on February 26, 2024. The pattern of disputes against him for claimed wrongful conduct is raising eyebrows and has caught my attention. Let me break down what these claims mean in layman’s terms.
Breaking Down the Accusations
What’s this latest accusation all about? Well, on November 21, 2023, an investor accused Kudarauskas of pitching an alternative investment that allegedly didn’t fit the investor’s portfolio. This issue is serious because any financial advice given should align with the client’s needs. The allegation is that wasn’t the case here.
The story doesn’t stop there. On April 20, 2021, Kudarauskas faced a complaint about pushing unsuitable alternative investments. The damage? Investors are chasing around $95,000 in losses.
But you might wonder, what exactly is an “unsuitable investment?”
The Problem with Unsuitable Investments
Understanding unsuitable investments is key. Simply put, FINRA Rule 2111 requires brokers like Kudarauskas to recommend investments that match the client’s financial goals. This means considering a whole range of factors: age, how much risk you can stomach, how long you plan to invest, your experience, your tax situation, and what you want to achieve financially.
If you’ve been steered towards investments that don’t fit your profile, you could potentially get back lost funds through FINRA arbitration, assuming you were relying on the broker’s advice when you made the decision.
Getting to Know Tom Kudarauskas
To shed light on the allegations, let’s take a closer look at Kudarauskas. He’s not new to the game with exams like the Series 65, Series 63, and the Securities Industry Essentials under his belt. Registered in eleven states, he doubles as an investment adviser in areas of Georgia, North Carolina, and Texas. With a 33-year-long career and stints at eleven firms, most recently Osaic Wealth, he’s an industry veteran.
The continued allegations against Kudarauskas should serve as a warning bell. It’s a reminder for investors to do their due diligence. As you aim to grow your wealth, knowing what you’re investing in and who’s advising you is crucial. Benjamin Franklin once said, “An investment in knowledge pays the best interest.” This rings especially true in the world of finance.
If you’ve crossed paths with Kudarauskas and you’re worried about your investments, taking prompt action could be your best bet for recovery. Over the years, many who’ve fallen prey to dubious financial practices have managed to fight back by getting the right help. After all, your financial security shouldn’t be at the mercy of a broker’s alleged misconduct.
Investor trust in their advisors is paramount, but as the saying goes, “trust but verify.” And if you ever need to verify an advisor’s history, one good place to start is by checking their FINRA CRD number. Remember, when it comes to financial advice, choose wisely—your peace of mind and wallet will thank you.
It’s disturbing to think that a financial fact we must face is that many so-called professionals can lead you astray. For example, did you know that a study found over 7% of financial advisors have been disciplined for misconduct? It’s a statistic that highlights the importance of critical judgment when choosing an advisor.
In my role, I commit to not just delivering information but empowering you with the understanding that can help protect and enhance your financial well-being. It’s not just about what happens in the markets but how you navigate those relationships that aim to guide your decisions that truly counts.
