Philip Stair Allegedly Misrepresented Bond Investment

caution-sign

Philip Stair (CRD# 4645877), a broker registered with Morgan Stanley, misrepresented an investment, according to an investor dispute. MDF Law is investigating the Alpharetta, Georgia-based financial professional for similar conduct, and urges investors to contact us with any concerns.

The following post contains additional details about the allegations against Mr. Stair. The information herein can be found in his BrokerCheck profile, a Financial Industry Regulatory Authority (FINRA) record accessed on November 28, 2023. 

Pending Dispute Alleges Misleading Advice

On October 24, 2023, an investor lodged a dispute alleging that Mr. Stair misrepresented an investment recommendation. The allegations state specifically that the recommendation concerned Bed Bath and Beyond bonds. The dispute, which remains pending, seeks unspecified damages.

Industry Rules Forbid Misrepresentation

The Financial Industry Regulatory Authority is a private corporation authorized by the US government to regulate its member broker-dealer firms. Known as FINRA, the organization has established important rules and standards that brokers and their member firms must follow. The investor dispute against Mr. Stair alleges that he violated FINRA rules designed to protect investors. 

For instance, FINRA Rule 2020 forbids the misrepresentation of material facts regarding investments. The rule specifically establishes that brokers may not “effect any transaction in, or induce the purchase or sale of, any security by means of any manipulative, deceptive or other fraudulent device or contrivance.” 

What Are Suitable Investments?

When brokers provide incomplete or inaccurate information regarding the investments they recommend, they put investors at risk of investing unsuitably. FINRA Rule 2111, also known as the suitability standard, requires brokers to tailor their recommendations to an investor’s background and circumstances. A risky, illiquid private placement, for instance, would likely be unsuitable for an investor with a conservative risk tolerance and income-generation needs. A broker who describes such an investment as liquid and safe, therefore, would be misrepresenting the investment in violation of FINRA rules. 

FINRA: Philip Stair Based in Alpharetta, Georgia

Philip Stair began his career as a broker in 2003. That was the year he registered with Bergen Capital’s office in Hasbrouck Heights, New Jersey, where he remained until 2006. He went on to register with Scott & Stringfellow and later BB&T Securities before joining Morgan Stanley in 2014. He has remained at the firm since, working out of its branch office in Alpharetta, Georgia. With 20 years of experience as a broker, he has completed four industry exams, including the Series 65 and the Series 7. 

MDF Law Offers Free Consultations

MDF Law has recovered more than $100 million in losses for the victims of investment fraud. If you have concerns regarding investments recommended by Philip Stair, contact our team to discuss your case. Our team currently offers free consultations across the US. Your time to file a claim may be limited, so we encourage you not to delay. Call 800-767-8040 today.

Print this Article