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StoneX Securities

Kurta Law is investigating recommendations made by StoneX Securities (CRD#: 18456) brokers. Investors should know that the firm has been censured by FINRA multiple times and works with brokers who have allegations of misconduct on their records. The brokerage firm is headquartered in Birmingham, Alabama.

StoneX Securities has operated under the following names:

  • C. G. Maton Financial Services
  • StoneX Wealth Management
  • Sterne Agee Financial Services
  • Southeast Network Equities Group
  • SAL Financial Services
  • SA Stone Wealth Management
  • Investech Capital Corporation
  • Capital Growth Management

Fees and Conflicts of Interest

Brokerage firms are required to provide a Customer Relationship Summary (Form CRS) that discloses its fees and conflicts of interest to investors.

  • StoneX Securities charges fees on each transaction, either as commissions or as markups/markdowns to the price of a security. These fees vary depending on the specific transaction, and investors may be able to negotiate them with their broker.
  • The firm also earns commissions on purchases of certain investments, including mutual funds, variable annuities, and non-traded REITs. These commissions cannot be negotiated because they are set by the product prospectus, and will generally be paid to the firm for as long as you hold the investment.
  • Investors will also face third-party fees, such as inactivity, account maintenance, and custodian fees as well as transaction charges and product-related fees.
  • Investors who use StoneX Securities’ self-directed online brokerage services are not charged commissions, but will face other fees, disclosed on StoneX One’s fee schedule.
  • StoneX Securities receives compensation from third-party product sponsors and managers when recommending or selling certain investments, and also holds revenue sharing agreements with certain sponsors and managers. These agreements incentivize the firm to recommend certain investments over others.
  • When the firm engages in principal trading, it earns compensation and may receive other benefits, giving the firm an incentive to trade with you in a principal capacity.

Broker-Dealer Services

Investors who hold brokerage accounts with StoneX Securities may trade in the following investments as well as stocks and bonds. However, investors should know that some of these products may come with considerable risk:

Regulatory Actions

State and federal securities industry regulators who identify misconduct may order brokerage firms to pay fines and restitution to investors. StoneX Securities discloses several FINRA regulatory actions on its detailed BrokerCheck page.

Alleged Failure to Supervise

On March 29, 2017, a Letter of Acceptance, Waiver & Consent (AWC) filed by FINRA alleged that StoneX Securities failed to establish and enforce supervisory systems and Written Supervisory Procedures (WSPs) reasonably designed to ensure the following:

  • Prompt and accurate amendments to brokers’ Forms U4 (Uniform Application for Securities Industry Registration or Transfer) to disclose their liens, judgments, and outside business activities
  • Identification of potentially inappropriate rates of variable annuity exchanges
  • Suitable concentration levels of investor variable annuity positions

StoneX Securities consented to a censure and fine of $122,500. You can read the full AWC here.

Brokers with Misconduct Allegations on Their Records

StoneX Securities works with brokers who have investor disputes on their records. Kurta Law knows of the following brokers currently or formerly associated with StoneX Securities who have allegations of misconduct on their records. This isn’t an exhaustive list, so if you have concerns about your broker, reach out to a securities attorney.

Kurta Law Can Help

Investors who lost money working with a StoneX Securities broker should reach out to an investment fraud lawyer for help. Our attorneys offer free case evaluations and do not charge a fee unless we win your case. Call (877) 600-0098 or email info@kurtalawfirm.com.

 

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