by Admin Istrator | December 24, 2021 5:31 pm
Mitchell Hirsch (CRD# 1147538) is involved in a pending complaint alleging as much as $10 million in damages. According to his Financial Industry Regulatory Authority (FINRA) BrokerCheck report, last accessed on December 17, 2021, Mr. Hirsch is currently registered with Fortune Financial Services in Coral Springs, Florida.
FINRA records list one pending customer complaint involving Mitchell Hirsch. Filed in 2021, the complaint alleges breach of fiduciary duty in connection to investments in “redundant hedge funds for the sole reason that such investments generated substantially higher fees.” The customers are seeking between $1 million and $10 million in damages in the pending complaint, whose allegations have not been proven.
Mitchell Hirsch defended himself against the allegations in the above-described pending customer complaint. In a “Broker Comment” on the disclosure, he said in part that he “denies any involvement” with the underlying investments. He added further that he “was not involved in the due diligence or approval of these investments” and “feels he was named in this arbitration because he handles another portion of the client’s investments, separately from the named investments.”
In 2019 the Securities and Exchange Commission released guidance clarifying its interpretation of the fiduciary standard for investment advisers. The SEC’s guidance established several duties advisers owe to their clients. First, they have a duty of care to offer advice in the client’s best interests, grounded in a “reasonable understanding” of the client’s goals. Second, they have a duty to seek best execution: that is, to execute securities transactions in a manner that maximizes value for the adviser’s client. Thirdly, investment advisers have a duty of loyalty to their clients: that is, a duty not to place their own interests above the client’s. Among other things, this requires adviser to make full and fair disclosures of all material facts relating to their relationship with the client, for instance, any conflicts of interest that may impact the adviser’s advice. More information about the fiduciary standard is available via the SEC.
According to the Financial Industry Regulatory Authority, Mitchell Hirsch’s 38 years of experience in the securities industry began in 1983, when he joined JB Hanauer & Company. Over the subsequent decades he affiliated with firms including Prudential-Bache Securities, First Union Capital Markets, Wachovia Securities, Oppenheimer & Company, Merrill Lynch, and Wells Fargo Advisors. He has been registered as a broker with Fortune Financial Services in Coral Springs, Florida since 2020. He has also been registered as an investment adviser with One Seven in Coral Springs, Florida since 2018. Records show that he has passed five securities industry examinations and currently has six state securities licenses.
For more information on his registration history, including the pending customer complaint involving him, visit his FINRA-provided BrokerCheck report. (The above-referenced information was accessed on December 17, 2021.)
Source URL: https://mdf-law.com/mitchell-hirsch/
Copyright ©2022 MDF Law unless otherwise noted.