George Snyder Suspended over Exchange-Traded Product Sales
George Snyder (CRD# 4276539), formerly a broker registered with Ameriprise Financial, violated Regulation Best Interest, according to a recent sanction. MDF Law is investigating the former Springfield, Missouri-based financial professional for similar conduct. If you have concerns about investments in your accounts, call us for a free consultation with an attorney.
To learn more about Mr. Snyder’s history as a broker, continue reading this post. The information below is based on a November 29, 2024 review of his BrokerCheck record, a Financial Industry Regulatory Authority profile.
Sanction Alleges Regulation BI Violations
On October 11, 2024, FINRA released a Letter of Acceptance, Waiver, and Consent (No. 2022076795001) outlining its disciplinary action against Mr. Snyder. The action alleges that he willfully violated the SEC’s Regulation Best Interest. This vital securities industry standard requires brokers to “exercise reasonable diligence” in order to form a reasonable basis to believe that their investment recommendations are in a retail customer’s best interest. In Mr. Snyder’s case, FINRA found that he recommended leveraged exchange-traded products to 13 customers without a reasonable basis to believe they were suitable.
As FINRA explains, these products are generally unsuitable for retail investors who intend to hold them for more than one trading session. When he recommended the investments, according to FINRA, Mr. Snyder lacked an understanding of their features and risks. He allegedly also failed to conduct research about them. His customers “had minimal or no prior experience investing in these products,” the Letter explains further. Six were seniors, including two with moderate risk tolerances. Five of the customers “had conservative or moderate risk tolerances.”
AWC Letter: ETP Recommendations Caused Losses
Mr. Snyder’s allegedly unsuitable recommendations caused adverse consequences for his customers, according to FINRA. More specifically, they suffered about $30,000 in total realized losses, while Mr. Snyder received $3,699.03 in commissions. The Letter goes on to detail allegations that he exercised discretion in customer accounts without prior written authorization from the customers. At the time he effected these transactions, the Letter adds, his firm’s rules prohibited discretionary trades in brokerage accounts.
Finding that Mr. Snyder violated FINRA rules in connection with the above-described allegations, the regulator imposed several sanctions. In addition to suspending him from associating with any firm in all capacities for five months, it fined him $10,000. It also ordered him to pay $3,699.03 plus interest in disgorgement. Mr. Snyder did not admit to or deny FINRA’s findings, but he did consent to the sanctions.
FINRA: George Snyder Last Based in Springfield, Missouri
Mr. Snyder started working as a broker in 2000. That year, he registered with IDS Life Insurance Company and Ameriprise Financial Services. He worked at Ameriprise’s branch office in Springfield, Missouri until November 2022. Having been suspended from acting as a broker, he is not presently registered with any member firm. Boasting 22 years of experience as a broker, he has completed three industry exams, including the Series 7 and the Series 66.
MDF Law Advocates for Investors
If you suffered losses on ETP or other investments recommended by George Snyder, call MDF Law. Our lawyers, who have recovered more than $100 million in investment losses, provide free consultations nationwide. We only receive a fee if you win your case, which you may have a limited time to file. Call us at 800-767-8040 for a free consultation.