Dwight Schaefer first entered the securities industry in 1989. Between July 2001 and February 2008, Mr. Schaefer was registered with LPL Financial and in May 2008 he became registered with Cambridge Investment Research, Inc. in Waterloo, Illinois.
On October 29, 2010, Dwight Schaefer and FINRA entered into a letter of acceptance, waiver and consent, known as an AWC (No. 2008012636401). According to the AWC, between October 2006 and February 2008, while registered with LPL Financial, Mr. Schaefer sold equity indexed annuities to approximately 28 customers without providing written notice of his outside business activity to LPL Financial in violation of FINRA Rules. These transactions were not processed through LPL Financial and Dwight Schaefer earned approximately $93,163 in compensation for these sales. Moreover, when asked by LPL Financial if he engaged in such behavior, Mr. Schaefer falsely indicated that he did not. This conduct constituted violations of FINRA Rule 3030 and 2110.
In connection with this conduct, Dwight Schaefer was fined $5,000 and was suspended from associating with any FINRA member firm for a period of four months. For more information on this activity or Dwight Schaefer’s suspension, please visit FINRA’s website.