Derek Su Facing a $2.2 Million Investor Dispute 

Derek Su (CRD #: 4121574), a broker registered with USCA Securities, is the subject of an investor dispute, according to his BrokerCheck record, accessed on August 24, 2023. For details regarding the dispute, keep reading. 

On June 12, 2023, clients alleged that Derek Su failed to properly structure their accounts to meet their retirement goals. Allegations include negligence, gross negligence, failure to supervise, and breach of fiduciary duty. The investor is seeking $2.2 million. 

What is an Unsuitable Investment?

Account structures could be unsuitable for a variety of reasons. FINRA Rule 2111 requires brokers to evaluate whether an investment strategy fits their investor’s financial goals. If financial goals include retirement, the broker should take that into consideration. 

Fiduciary Duties

Brokers are often dually registered as Registered Investment Advisers (RIAs) with the SEC, and RIAs are fiduciaries. Fiduciaries are required to act in their clients’ best interests. (Click here to learn more about the differences between brokers and Registered Investment Advisers.) 

What is Broker Negligence? 

Negligence covers a variety of broker misconduct, including a failure to conduct due diligence. Investors who believe their losses are the result of broker negligence may be able to recover their funds by pursuing FINRA arbitration. 

FINRA Rule 3110

FINRA Rule 3110 requires that firms establish systems of supervision to maintain their compliance with securities regulations. This includes appointing supervisors and providing them with Written Supervisory Procedures (WSPs).

Background Information 

Derek Su has passed the following exams: 

• Series 66 Uniform Combined State Law Examination 
• Series 6TO Investment Company
• SIE – Securities Industry Essentials Examination 
• Series 7 General Securities Representative Examination 
• Series 6 Investment Company Products / Variable Contracts Representative Examination 

He is a registered broker in 14 states and is a registered investment adviser in Texas. 

Derek Su has registered with the following firms: 

• USCA Securities (CRD #: 103789) 
• U.S. Capital Wealth Advisors (CRD #: 288199) 
• USCA RIA (CRD #: 152170) 
• Wells Fargo Advisors (CRD #: 19616) 
• WMA Securities (CRD #: 32625) 

Kurta Law Can Help

If you worked with Derek Su and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. The firm only earns a fee if our securities attorneys recover money on your behalf.