Investors Allege Jim Geake Made Unsuitable Investment Recommendations

Jim Geake (CRD #: 2629008), a broker registered with Madison Avenue Securities, allegedly gave investors unsuitable investment recommendations. This is according to his BrokerCheck record, accessed on January 15, 2025. Keep reading if you have questions regarding his alleged conduct. 

Investor Disputes

On December 11, 2024, investors alleged that Jim Geake recommended unsuitable alternative investments. This dispute is currently pending.

On November 29, 2023, investors alleged that Jim Geake recommended unsuitable investments, primarily NorthStar Healthcare REIT (real estate investment trust). This dispute was settled for $345,000.

According to a dispute filed on July 2, 2021, Jim Geake allegedly made multiple unsuitable recommendations of alternative investments, including Hospitality Investors Trust. The investors sought $750,000 and the dispute settled for $450,000. 

In a dispute filed on April 27, 2018, an investor named Jim Geake in allegations involving the suitability and misrepresentation of an alternative investment and fixed index annuity (FIA) contracts. This dispute was settled for $155,000.

On November 13, 2015, an investor named Jim Geake in allegations of failure to supervise, negligence, and breach of contract. The client alleged that Jim Geake recommended they liquidate certain annuity contracts to purchase three alternative investments between 2007-2009.

They further alleged they experienced losses due to the surrender charges associated with the liquidation of the annuities and the underperformance of the alternative investments. The client sought $419,000 and received a settlement of $60,000.

FINRA Rule 2111

FINRA Rule 2111 requires brokers to evaluate whether an investment strategy fits their investor’s financial goals. Brokers must examine the investor’s profile, which contains the following investor characteristics:

• Age
• Risk tolerance
• Time horizon (i.e., how long the investor plans to hold the investment)
• Investing experience
• Tax status
• Financial goals

Investors who rely on brokers for recommendations may be able to recover losses from unsuitable investment recommendations by pursuing FINRA arbitration.

FINRA Rule 2020

FINRA Rule 2020 forbids the use of deceptive, manipulative, and otherwise fraudulent methods to influence the purchase and sale of securities. Misrepresenting an investment’s fees, limitations, or other features violates this rule.

FINRA Rule 3110

FINRA Rule 3110 requires that firms establish supervisory systems to ensure their compliance with securities regulations. Firms must appoint supervisors and provide them with Written Supervisory Procedures (WSPs) to follow.

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.

What are REITs?

Real estate investment trusts (REITs) allow investors to generate returns from a real estate portfolio without taking on the cost and responsibility of managing the properties. However, REITs tend to be illiquid, making them unsuitable for many investors.

Background Information 

Jim Geake has passed the following exams:

• Series 65 Uniform Investment Adviser Law Examination 
• Series 63 Uniform Securities Agent State Law Examination 
• SIE – Securities Industry Essentials Examination 
• Series 7 General Securities Representative Examination 
• Series 6 Investment Company Products / Variable Contracts Representative Examination 
• Series 24 General Securities Principal Examination 

He is a registered broker in 23 states and is a registered investment adviser in Illinois and Texas. 

Jim Geake has registered with the following firms: 

• Madison Avenue Securities (CRD #: 23224) 
• Madison Avenue Advisors (CRD #: 137461) 
• American General Securities Incorporated (CRD #: 13626) 
• Franklin Financial Services Corporation (CRD #: 5435) 

Kurta Law Can Help 

If you have worked with Jim Geake and have concerns about your investments, do not hesitate to contact us at 877-600-0098 or info@kurtalawfirm.com for a free consultation. 

For nearly 20 years, Kurta Law has advocated for investors 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. This means that the firm only earns a fee if our securities attorneys recover money on your behalf. Do not let securities fraud go unchecked. Start your recovery process today.