As an investor, knowing who handles your money is crucial. That’s why many were on edge when Lee Norman, a broker at Edward Jones, became entangled in an investor dispute. The allegations against Norman surfaced on February 22, 2024, in his FINRA BrokerCheck record, shedding light on potentially serious misconduct.
Accusations and Investor Anxiety
Whispers turned to outcry when, on November 30, 2023, an investor charged Norman with selling off her assets and reinvesting them without her consent. This move reportedly triggered significant taxes for her. Although the complaint was dismissed by the firm—a common practice—it’s not the end of the road. As an investor, you’re not without options. You can still fight for justice through FINRA arbitration, even if a firm initially turns down your dispute.
Crucially, FINRA, the watchdog of the finance industry, enforces rules designed to protect you—the investor. A standout among these regulations is FINRA Rule 3260.
Understanding FINRA Rule 3260: A Cloak of Protection for Investors
Here’s the bottom line: brokers can’t make trading decisions in your account on a whim. For them to do so, they need express permission from both you and the firm they work for. If they sidestep this process, it’s considered unauthorized trading.
Moreover, should a broker ignore this protocol, they breach the ethical code outlined in FINRA Rule 2010, which demands they operate with the utmost integrity and fairness.
The Broker in Question: Lee Norman’s Profile
To give you a clearer picture, let’s take a closer look at Lee Norman’s credentials. He’s passed several key exams:
- Series 66 – Essential for advising on investments and trade laws
- SIE – A gateway exam for the securities industry
- Series 7 – A test for general securities representatives
Armed with these qualifications, Norman is authorized to operate as a broker in 27 states, and he’s also licensed as an investment adviser in Kentucky and Texas.
If you have ever done business with Lee Norman and have qualms about how your investments were handled, remember that you have rights. You can speak with seasoned securities law experts who offer free consultations. These firms dedicate their practice to helping investors like you contest brokerages and potentially recover investment losses.
In nearly 20 years, these advocate groups have guided investors through the recovery of losses caused by questionable broker actions. If you suspect fraudulent activity, you must act swiftly. Begin your journey to possible restitution now.
“An investment in knowledge pays the best interest,” Benjamin Franklin wisely stated. Knowledge becomes power when you learn that, alarmingly, as many as 7% of financial advisers have been disciplined for misconduct, according to a study from the University of Chicago. As investors, our safeguard is knowledge—doing our due diligence and investigating a broker’s history, including their FINRA CRD number, is a critical step before entrusting our assets.
