According to Morgan Stanley, the “Pelican Bay Group” is an elite team of 20 Morgan Stanley financial advisors and additional staff that manage wealth for high net worth families. As of December 31, 2021, the Pelican Bay Group reportedly manages approximately $4 billion in assets. However, the Group has come under scrutiny since a client recently filed a complaint against Managing Director Anthony Gallea, claiming that Gallea had misrepresented the firm’s options trading strategy.
Misrepresentations Violate FINRA Rules
Under FINRA Rule 2020, brokers cannot use any manipulative, deceptive, or other fraudulent device or contrivance to induce the purchase or sale of any security. And if they violate that rule, FINRA can take a range of actions against the broker, including suspending the broker’s license and ordering the broker to compensate their clients.
Morgan Stanley FINRA Arbitration Claims
According to BrokerCheck, the recent allegations are not the first complaints FINRA has received about Gallea. While allegations are not proof of wrongdoing, if you’ve been investing with Gallea or the Pelican Bay Group, you may want to review your investments including any options strategies.
Compare the firm’s brochures and sales materials with your agreement and account statements. Are the terms promised in the sales brochures and correspondence the same terms you’ve received in the actual statements? Is the trade activity consistent with your investment goals? Have you lost a significant amount of money or been charged high commissions?
If there are inconsistencies in these documents or discrepancies between what your broker said they would do and what they did, you may want to better understand how your money is invested.
If you’ve lost money from investments with Pelican Bay Group, Anthony Gallea or other brokers who are engaging in similar strategies, you should contact Silver Law Group. The Silver Law Group is a nationally recognized team of attorneys who help clients recover their investment losses due to investment fraud and other brokers’ wrongdoing. Call now at 800-975-4353 to schedule a free consultation.