New Jersey-based National Securities Corporation broker/adviser Reid Malvin is the subject of a customer complaint. The securities and investment fraud law firm Fitapelli Kurta is interested in hearing from investors who have complaints regarding Mr. Malvin (CRD# 4550756).
Reid Malvin has spent thirteen years in the securities industry and has been registered with National Securities Corporation in Tinton Falls, New Jersey since 2009. Previous registrations include Gunnallen Financial Eatontown, New Jersey; Milestone Group Management in Lake Success, New York; and Waddell & Reed in Overland Park, Kansas. He is a registered broker and investment adviser with 30 US states and territories.
According to his BrokerCheck report, Reid Malvin is the subject of one customer complaint, one closed customer complaint, and one withdrawn customer complaint.
In March 2016 a customer alleged Reid Malvin, while employed at National Securities Corporation, engaged in unauthorized trading. The customer sought $33,261 in damages in the complaint, which was closed.
In 2004 a customer alleged Reid Malvin, while employed at Milestone Group Management, churned the account and made unsuitable investment recommendations. The complaint settled in for $25,000, to which Mr. Malvin individually contributed $25,000.
In 2004 a customer alleged Reid Malvin, while employed at Milestone Group Management, failed to follow instructions, executed unsuitable transactions, and executed margin transactions. The customer sought $14,000 in damages in the complaint, which was withdrawn.
“Margin” refers to the practice of borrowing funds from one’s broker or investment adviser to purchase a security, with that security itself used as collateral in the transaction. There are many benefits to purchasing securities on margin, chiefly the increase of purchasing power that allows investors to buy more securities without completely paying for them. There are also many risks, chiefly the increase in potential for significant losses. Brokers, investment advisers, and broker-dealer firms who unsuitably recommend investments on margin may be subject to disciplinary action by FINRA or the Securities and Exchange Commission.
According to FINRA rules and federal securities law, financial professionals like Reid Malvin are prohibited from executing transactions without a customer’s permission or authorization. There are some exceptions, including discretionary accounts and, in some circumstances, margin accounts. Brokers, investment advisers, and broker-dealer firms who effect unauthorized trades may be subject to disciplinary action.
If you have complaints regarding Reid Malvin, call the securities and investment fraud law firm Fitapelli Kurta at 877-238-4175 for a free consultation. You may be entitled to recoup your losses. All cases are taken on contingency: we only receive payment if and when you recover money. You may have a limited window to file your complaint, so we encourage you to avoid delay. Call 877-238-4175 now to speak to an attorney for free.
This information based on publicly available documents provided by FINRA on April 13, 2016.