John Openshaw Allegedly Sold Unsuitable REITs
John Openshaw (CRD# 2306112), formerly a broker registered with KCD Financial, sold unsuitable REITs, according to an investor dispute. MDF Law is investigating the former Green Bay, Wisconsin-based financial professional for similar conduct. If you are a former client who suffered losses in your accounts, call for a free consultation today.
Continue reading this post for more information about Mr. Openshaw’s history as a broker. The information below is sourced from his BrokerCheck report, a Financial Industry Regulatory Authority profile examined on February 26, 2025.
Pending REIT Dispute Seeks 6-Figure Damages
On November 11, 2024, an investor lodged a dispute alleging that Mr. Openshaw recommended three unsuitable real estate investment trust transactions. The dispute, which is still pending, seeks $300,000 in alleged damages.
Firm Settled Past Disputes
The above-described pending dispute is not the only one in Mr. Openshaw’s past. Between 2002 and 2004, nine parties of investors filed disputes that his former member firm settled. These claims included allegations of misrepresentation, breach of fiduciary duty, negligence, fraud, conversion, and breach of contract. As his BrokerCheck record reflects, several of them stemmed from investments in stock products. His former member firm settled the claims for more than $1.3 million in total.
Understanding Vital Investor Protections
The disputes listed in Mr. Openshaw’s BrokerCheck report touch on some common forms of broker misconduct. Take, for instance, the allegations of unsuitable investment recommendations: this essentially means that the recommended products were inappropriate for the customer. Industry rules and standards require brokers to conduct reasonable diligence to ensure that their recommendations are in line with a client’s profile. This includes such factors as their age, income, goals, risk tolerance, liquidity needs, net worth, and more.
In a similar vein, various rules prohibit brokers from misleading their clients. For example, FINRA Rule 2010 makes clear that they must observe high standards of commercial honor and just and equitable principles of trade. In a similar vein, Rule 2020 prohibits them from using “manipulative, deceptive, or other fraudulent device[s] or contrivance[s]” to effect or induce securities trades. This means that they may not misrepresent investments or strategies, as these misrepresentations might lead clients to invest unsuitably.
FINRA: John Openshaw Last Based in Green Bay, Wisconsin
Mr. Openshaw kicked off his career as a broker in 1993, when he registered with Chatfield Dean & Company in Greenwood Village, Colorado. He worked at number of firms over the subsequent decades, including First Wall Street, Freedom Investors, and Lombard Securities. He joined his most recent firm, KCD Financial, in 2018, and worked at its Green Bay, Wisconsin office until 2020. With 23 years of experience as a broker, he has completed six industry exams, including the Series 7 and the Series 66.
MDF Law Stands Up for Investors
If you lost money on investments recommended by John Openshaw, you may have recovery options. Call MDF Law at 800-767-8040 for a free consultation. Not only do we accept cases on a contingency basis—clients only pay a fee if they win their case—but we also provide free consultations to investors nationwide. Your window to file a clim may be limited, so don’t delay: contact MDF Law today.