Christopher Geraci, a broker and investment advisor with Merrill Lynch, Pierce, Fenner & Smith Incorporated, is currently under investigation by Haselkorn & Thibaut, P.A., a national investment fraud law firm. The investigation comes in light of a recent customer dispute alleging improper solicitation of an account from January 11, 2022, to February 2, 2024.
Investment fraud and bad advice from financial advisors can have devastating consequences for investors. According to a Forbes article, investment fraud costs Americans billions of dollars each year, with many victims being elderly or inexperienced investors.
Allegations Against Christopher Geraci and Merrill Lynch
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According to the disclosure on Geraci’s FINRA BrokerCheck profile (CRD #7248421), a client has accused him of improperly soliciting an account involving managed or wrap accounts (in-house money manager) during the period from January 11, 2022, to February 2, 2024. The dispute was closed with no action taken, but the allegations raise concerns about the broker’s conduct and the supervision provided by Merrill Lynch.
Understanding Improper Solicitation and FINRA Rules
Improper solicitation occurs when a broker or investment advisor uses misleading, manipulative, or deceptive practices to persuade a client to invest in a particular product or service. FINRA Rule 2020 prohibits brokers from engaging in manipulative, deceptive, or fraudulent acts in connection with the purchase or sale of securities. Additionally, FINRA Rule 2111 requires brokers to have a reasonable basis for believing that a recommended transaction or investment strategy is suitable for the customer based on their investment profile.
The Importance of Proper Conduct for Investors
Improper solicitation can lead to investors being misled into making investment decisions that may not align with their financial goals, risk tolerance, or investment objectives. When brokers engage in such practices, it erodes trust in the financial industry and leaves investors vulnerable to potential losses. It is crucial for investors to work with brokers and investment advisors who adhere to the highest ethical standards and prioritize their clients’ best interests.
Recognizing Red Flags and Seeking Help
Investors should be aware of red flags that may indicate financial advisor malpractice, such as:
- Pressure to make quick investment decisions
- Promises of guaranteed returns or low-risk investments with high yields
- Lack of transparency regarding fees, commissions, or potential conflicts of interest
- Unauthorized trades or account activity
If an investor suspects they have been a victim of improper solicitation or other forms of financial advisor misconduct, they should consider seeking help from a qualified investment fraud attorney. Haselkorn & Thibaut, P.A., with offices in Florida, New York, North Carolina, Arizona, and Texas, has over 50 years of combined experience and a 98% success rate in helping investors recover losses through FINRA arbitration.
The Benefits of Working with Haselkorn & Thibaut, P.A.
Haselkorn & Thibaut, P.A. offers free consultations to investors who believe they may have been victims of financial advisor misconduct. Their experienced attorneys can help investors navigate the complex process of FINRA arbitration and work tirelessly to recover lost funds. With a “No Recovery, No Fee” policy, clients can trust that the firm’s interests are aligned with their own.
Investors who have concerns about their accounts managed by Christopher Geraci or Merrill Lynch are encouraged to contact Haselkorn & Thibaut, P.A. at 1-888-885-7162 for a free consultation.
