Ameriprise Financial Services is a broker-dealer firm registered with both the Securities Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). Their main office location is in Minneapolis, Minnesota, with firm operations in all fifty states, Puerto Rico and the U.S. Virgin Islands.
Ameriprise Financial has an extensive history of FINRA violations, customer complaints, and arbitrations. In fact, Ameriprise has been a party to no fewer than 98 arbitrations since entering the financial industry and has received 55 “Regulatory Events” indicated on its license, two of which are still pending. A regulatory event is generally another term for a customer complaint that is filed against a brokerage firm, or in some cases civil penalties, fines, or censures against the firm.
Notably, Ameriprise has the following events noted on its license in the last four years alone:
- On May 22, 2013, Ameriprise was forced to pay $400,000 in restitution to their customers, when one of its’ stockbrokers exceeded the maximum sales permitted for non-traded Real Estate Investment Trusts (REITs). According to Massachusetts law, there is a 10% maximum imposed on these sales, which Ameriprise was aware of and exceeded.
- On April 18, 2013 FINRA fined Ameriprise $525,000 for failing to promptly deliver prospectuses to certain customers who had purchased mutual funds. The Securities Act of 1933 requires clients to receive this information within three business days, however in this case, Ameritrade failed to give their customer’s this information within that time period in approximately 580,000 instances for over two years.
- On March 4, 2013, Ameriprise was fined $750,000 for “not adequately protecting customer records and information”. Apparently, Ameriprise had allowed brokers who had been terminated to continue to have access to the firm’s computer system.
- On January 17, 2013, the firm was fined $50,000 for failure to supervise former securities agents.
- On July 21, 2010, Ameriprise was ordered to pay $175,000 when FINRA alleged H&R Block (a subsidiary of Ameriprise) recommended and effected 38 unstable variable annuity transactions involving 17 customers though one of its financial advisors. Ameriprise purchased H&R Block in 2008.
For a complete list of Ameriprise Financial Services, Inc.’s FINRA violations or arbitrations reports, see their BrokerCheck Report.
If you or someone you know has suffered financial loss as a result of Ameriprise Financial Services, Inc., or one of its’ stockbrokers, you may be entitled to compensation. The law provides you with a course of recovery in these cases, but the window of opportunity is small, and time is of the essence. Do not wait. Call the dedicated and experienced attorneys at Fitapelli Kurta today.
As a note to investors, Ameriprise Financial Services also goes by the followign names: AMERICAN EXPRESS FINANCIAL ADVISORS INC., AMERICAN EXPRESS FINANCIAL ADVISORS, INC., AMERIPRISE FINANCIAL SERVICES, INC., IDS MARKETING CORPORATION