Michael Vassalotti Allegedly Misrepresented Unsuitable Investment Strategy

Michael Vassalotti (CRD #: 1461475), a broker registered with UBS Financial Services, allegedly recommended an unsuitable investment strategy, according to his BrokerCheck record, accessed on March 20, 2023. Read on if you want to know more about his alleged conduct as a broker.

Investor Dispute

On February 1, 2023, an investor alleged that Michael Vassalotti made material misrepresentations with regard to an unsuitable investment strategy he allegedly recommended from October 30, 1998, to August 1, 2022. The client further alleged that this strategy was not in the client’s best interest.

The investor seeks $974,094.12 in damages in this pending dispute.

FINRA Rule 2020

FINRA Rule 2020 bans the use of deceptive, manipulative, and otherwise fraudulent means of influencing the purchase and sale of securities. Misrepresenting material facts about an investment’s features, limitations, or risks violates this rule.

FINRA Rule 2111 and Regulation Best Interest

FINRA Rule 2111 requires brokers to take into account investors’ financial goals when making recommendations of investments or investment strategies. Brokers must consult an investor’s profile, which contains information about their tax status, age, and risk tolerance.

Regulation Best Interest (Reg-BI) is an SEC regulation that requires brokerage firms to put their clients’ best interests first. For example, firms must conduct reasonable due diligence when researching investments to ensure their recommendations are suitable for the investor.

Background Information

Michael Vassalotti 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 3 – National Commodity Futures Examination
• Series 7 – General Securities Representative Examination
• Series 6 – Investment Company Products/Variable Contracts Representative Examination
• Series 10 – General Securities Sales Supervisor – General Module Examination
• Series 9 – General Securities Sales Supervisor – Options Module Examination
• Series 8 – General Securities Sales Supervisor Examination (Options Module & General Module)
• Series 26 – Investment Company Products/Variable Contracts Principal Examination

Michael Vassalotti is a registered broker in 21 states and a registered investment adviser in Florida and Texas.

He has also worked for the following firms:

• Morgan Stanley Smith Barney (CRD#:149777)
• Morgan Stanley & Company (CRD#:8209)
• Morgan Stanley (CRD#:7556)
• Equico Securities (CRD#:6627)
• The Equitable Life Assurance Society of the United States (CRD#:4039)
• Pruco Securities (CRD#:5685)

Kurta Law Can Help

If you worked with Michael Vassalotti 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 and 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.