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Securities Arbitration Attorneys Our FINRA arbitration lawyers work with investors to recover losses caused by securities fraud, investment fraud, and other kinds of stockbroker misconduct.

AXA Advisors, LLC

Background Information

AXA Advisors, LLC is owned by AXA Financial, Inc and has operated as a securities business since 1974. AXA Advisors, LLC is the retail distribution channel of AXA Financial. AXA operates worldwide with over $500 billion in assets under management. AXA is primarily engaged in offering mutual funds, variable life insurance and variable annuity contracts.

Regulatory Violations

AXA Advisors has been the subject of many regulatory investigations, some which resulted in disciplinary actions by regulators.

Representative Misappropriates Funds

The SEC penalized AXA Advisors $100,000 for failure to supervise a representative who fraudulently misappropriated approximately $1.2 million from customers. They found that AXA failed to implement adequate procedures that would have detected and prevented the representative’s conduct. The representative induced customers to redeem variable annuities and mutual funds under the false representation that he would invest the proceeds for them in other securities products. Instead of investing these proceeds, he deposited them into his personal bank account. Had AXA had adequate procedures regarding the review of redemptions by customers of variable annuities, his fraud would have likely been detected and prevented.

FINRA Fines and Sanctions – AXA Advisors, LLC

Source: FINRA, Financial Industry Regulatory Authority, Inc. Full Disciplinary Reports Available to the public at: finra.org.

AXA Advisors, LLC (CRD #6627, New York, New York) submitted a Letter of Acceptance, Waiver and Consent in which the firm was censured and fined $100,000.00. Without admitting or denying the findings, the firm [AXA] consented to the described sanctions and the entry of findings that it failed to reasonably supervise the activities of a registered representative who misappropriated $1.2 million from seven customers. When the representative became associated with AXA, he had been the subject of previous customer complaints and was experiencing financial difficulties, however the firm failed to supervise the representative in a reasonable manner and failed to respond adequately to red flags concerning the representative’s Ponzi scheme. (FINRA Case #2009020149901)

AXA Advisors, LLC (CRD #6627, New York, New York) submitted a Letter of Acceptance, Waiver and Consent in which the firm was censured and fined $50,000. Without admitting or denying the findings, the firm [AXA] consented to the described sanctions and entry of findings that it failed to reasonably supervise a former registered representative who misappropriated funds from a client’s account. When the representative joined the firm he was placed on heightened supervision, however, during this time he requested redemptions from the money market fund held in the client’s account. The disbursement checks for those redemptions were sent to the representative’s office, which was the address of record for the client’s account. Once he received the check, the representative fraudulently endorsed them and deposited them in his personal banking account. If the firm had reasonably supervised the representative, who was on heightened supervision, they should have seen that the client address of record was the representative’s business address and also that multiple fraudulent redemption requests were made. (FINRA Case #2009017466202)

Silver Law Group

Silver Law Group is a nationally recognized securities and investment fraud law firm with Martindale-Hubbell® Peer Review Ratings™ “AV” rated lawyers that handle all securities arbitration matters on a contingency fee basis. The Law Firm, at no cost to investors will review account activity and account statements to determine whether there was any misconduct, whether there are damages and the legal causes of action. We investigate all sales practice violations, while taking into consideration the investor’s age, investment background, and the relationship between the investor and the brokerage firm and its financial advisor. According to securities industry rules and regulations, unsuitable investment advice, securities concentration, fraudulent misrepresentations and omissions of material facts, breach of fiduciary duty, conflicts of interest, variable annuity switching are among the causes of action that may be available to investors in claims for damages against brokerage firms and their financial advisors in a securities arbitration claim filed with the Financial Industry Regulatory Authority (FINRA). We represent investors in FINRA arbitration claims on a contingency fee basis.

To learn more call us at (954) 755-4799 or Toll Free at (800) 975-4345

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“My in-laws lost their retirement funds to a dishonest broker. Silver Law Group and Scott Silver aggressively pursued their losses until he got their money back.”
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