The Securities and Exchange Commission (SEC) has filed a complaint against Arizona-based brokerage/advisory firm Sagepoint Financial. The securities and investment fraud law firm Fitapelli Kurta is interested in speaking to investors who have complaints regarding Sagepoint Financial (CRD# 133763).
Formed in Delaware in 2004, Sagepoint Financial is headquartered in Phoenix, Arizona and registered with 53 US states and territories. Jeffrey Auld is Chief Executive Officer and President; Inger Fields is Vice President, Treasurer and Financial Operations Principal; Robert Guldner is Chief Compliance Officer, Investment Advisory; Erica McGinnis is Chairperson; Justin Sacca is Vice President and Chief Compliance Officer; Matthew Schlueter is Chief Operations Officer and Executive Vice President. Sagepoint Financial is indirectly owned by American Investment Group (AIG).
According to the SEC complaint, Sagepoint Financial invested its advisory clients in certain mutual fund share classes that came with certain 12b-1 fees, rather than lower-fee share classes that had no such 12b-1 fees, in violation of the firm’s fiduciary duty. Sagepoint Financial and two co-respondents received fees totaling approximately $2 million that they would not have received had it invested clients in lower-fee share classes.
The SEC additionally alleged Sagepoint Financial failed to disclose the conflict of interest — stemming from its financial incentive to invest clients in higher-fee classes — in certain filings. It allegedly also failed to quarterly monitor certain accounts for reverse churning, as required by firm policies and procedures. Sagepoint Financial has been censured; alongside its two co-defendants, it has also been ordered to pay disgorgement and other penalties totaling more than $10 million.
If you have complaints regarding or have lost money investing with Sagepoint Financial, you may be entitled to recover your losses. Call the securities and investment fraud law firm Fitapelli Kurta at 877-238-4175 for a free consultation. Fitapelli Kurta takes every case on a contingency basis, which means we only get paid if and when you collect money. By law there may be a limited window to file your claim, so we recommend you avoid delay. Call 877-238-4175 now to speak to an attorney for free.
This information based on publically available documents provided by the SEC on March 30, 2016.