Sonn Law Group is investigating claims regarding Jeffrey David Daggett (CRD #843023, Temecula, California). Daggett recently submitted an Acceptance, Waiver & Consent (“AWC”) in which he was assessed a deferred fine of $20,000 and suspended from association with any FINRA member in any capacity for four months. See FINRA Case #2012035383801. The suspension is in effect from July 6, 2015, through November 5, 2015. Daggett was associated with Wells Fargo Advisors, LLC, from December 2008 until July 2013. Daggett previously was associated with Morgan Stanley & Co., Inc. (April 2007-January 2009), and Morgan Stanley DW, Inc. (June 1995-April 2007).
FINRA found that Daggett recommended unsuitable transactions in an exchange-traded note (ETN), and leveraged and inverse-leveraged ETFs (non-traditional ETFs) in the accounts of his customer. FINRA also found that Daggett recommended the ETN and non-traditional ETFs without having reasonable grounds for believing that the securities were suitable for the customer in view of the customer’s financial situation, investment objectives and needs. The customer’s realized and unrealized losses from investing in the ETN and non-traditional leveraged ETFs were approximately $88,099.75, according to FINRA. In entering into the AWC, Daggett neither admitted nor denied FINRA’s findings.
Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, Wells Fargo or Morgan Stanley may be liable for investment or other losses suffered by Daggett’s customers during the time Daggett was registered with the firm.
If you were a client of Wells Fargo, Morgan Stanley, or Daggett, and have suffered investment losses or financial irregularities, please contact Sonn Law Group to explore your legal options. Sonn Law Group is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies. To learn more, please call us at 844-689-5754 or complete our “contact form.”