Jeffrey Max Cohen, a registered investment adviser and broker, is the subject of four customer dispute disclosures arising from the allegation of unsuitable investment recommendations, according to an investigation by investor rights attorney, Alan Rosca.
Investor rights attorney Alan Rosca, of the Rosca Scarlato LLC law firm is investigating conduct related to the various customer dispute disclosures against broker Jeffrey Cohen, majorly on the subject of unsuitable investment recommendations.
As at the time of instituting the various customer disputes, Jeffrey M Cohen was in the employment of a Financial Industry Regulatory Authority (FINRA) member firm Moloney Securities Co. and he is still a member of the firm as at the time of this investigation.
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Broker Jeffrey M Cohen Has Several Customer Dispute Disclosures
According to the Jeffrey Max Cohen investigation, Jeff Cohen is the subject of several customer disputes as of the date of this article, according to reports on his FINRA Brokercheck page.
In July 2020, a Cohen customer filed a dispute with FINRA requesting $800,000 in alleged damages for unsuitability of investment while Cohen was employed with Moloney Securities.
In April 2020, a customer dispute was instituted on the allegation of broker Jeffrey Max Cohen making unsuitable recommendations. The customer sought $500,000 in damages.
In August 2019, a customer dispute seeking $2,000,000 in damages was instituted. The customer alleged that broker Jeffrey Cohen made an unsuitable investment recommendation for the client to invest in alternative investments. The complaint was filed with FINRA.
In similar vein, Jeffrey M Cohen was also the subject of another customer dispute opened in the same month of 2019. The client sought damages to the tune of $3,000,000 on the same allegation of making unsuitable recommendations to the client to invest in alternative investments.
Over $500,000 Reportedly Paid in Total Settlements to Cohen’s Customers
In February 2020, a customer dispute was instituted against Jeffrey Cohen‘s broker dealer seeking $700,000 in damages on the same allegations of Cohen recommending unsuitable investments. This dispute was recently settled for $125,000.
In January 2020, another Jeffrey Cohen customer sought $200,000 in damages based on the allegations of unsuitable investment recommendations and the dispute was recently settled for $100,000.
In 2001, a customer claimed intentional misrepresentation, negligence, and misrepresentation and requested $400,000 in alleged damages. One month later the dispute was reportedly settled for $320,000, with Jeffrey Cohen individually contributing a total of $5000.
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Generally speaking, brokers and investment advisers have a duty to make financially sound and suitable investment recommendations to their clients. These recommendations are based on the profile and the investment needs of the clients.
In considering the profile and investment needs of the client to determine the suitability of an investment recommendation, the broker is expected to juxtapose the recommendation with specific details of the client including but not limited to the client’s: financial health, tax status and age, current portfolio, risk tolerance and investment experience, liquidity and Investment goals among others. Brokers and investment advisers who are found to be in breach of this duty may be found responsible for losses incurred by their clients and made liable for such loss.
Putting it into context, an investment recommendation to a client to invest in real estate may in some cases be deemed unsuitable to a client with short term liquidity requirements. Also, an investment recommendation to invest in high-risk equity investments may be unsuitable to an investor with a low risk tolerance.
Before making any investment recommendation to the client, the broker is expected to carry out the appropriate due diligence to ascertain the appropriateness of the investment to any investor at all. After this, the broker must evaluate if the investment recommendation is suitable for the specific client in focus.
Putting the specific needs of the client in mind, the broker, after determining whether the investment is suitable for the client, must determine the appropriate quantity or concentration that will serve those specific needs.
Broker Jeffrey Cohen, by virtue of the various customer disputes instituted by his customers, has been alleged to be in breach of the various duties and requirements mentioned above.
Finally, it is important to note that, as of the date of this article, there has not been a finding of liability as to the complaints or allegations mentioned in this article, unless otherwise indicated. Any reader should also read the original sources hyperlinked in this blog for accuracy, including any BrokerCheck report and/or record of any disciplinary or regulatory action. Those sources are incorporated by reference into the text of this blog, and are the governing materials in case of any inconsistencies or typos in this blog.
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Securities Lawyer Investigating Potential Options on Behalf of Jeffrey Cohen Customers
The Rosca Scarlato LLC law firm represents investors who lose money as a result of investment-related fraud or misconduct and is currently investigating conduct related to broker Jeffrey Max Cohen’s customer dispute disclosures on the allegation of unsuitable investment recommendation.
The firm takes most cases of this type on a contingency fee basis and advances the case costs, and only gets paid for their fees and costs out of money recovered for clients. Attorney Alan Rosca, a securities lawyer and adjunct professor of securities regulation, has represented thousands of victimized investors across the country and around the world in cases ranging from arbitrations to class actions.
Investors who believe they lost money as a result of conducts related to broker Jeffrey Cohen’s customer disputes on the allegation of unsuitable investment recommendation may contact attorney Alan Rosca for a free no-obligation evaluation of their recovery options, at 888-998-0530, via email at arosca@rscounsel.law, or through the contact form on this webpage.
