Stephen Nitz Allegedly Charged Excessive Fees
Stephen Nitz (CRD# 1298437), a broker registered with Steward Partners, recommended an unsuitable REIT, according to a recent investor dispute. MDF Law is investigating the Newtown, Connecticut-based financial professional for similar conduct. If you have concerns about investments in your accounts, contact our law firm for a free consultation.
To learn more about the allegations against Mr. Nitz, continue reading this post. The information below is sourced from his BrokerCheck profile, a Financial Industry Regulatory Authority resource accessed on September 25, 2024.
Pending Dispute Alleges Excessive Fees
On May 1, 2024, an investor lodged a dispute alleging that Mr. Nitz charged excessive fees and that their account performed poorly. The dispute, which is still pending, seeks more than $19,000 in alleged damages.
Mr. Nitz issued a statement defending against the allegations, according to his BrokerCheck record. In this “Broker Comment,” he asserted that the customer’s accounts were invested in “actively monitored and traded” third party models. The accounts, he added, were also regularly reviewed to ensure they were diversified and that they performed in accordance with the customer’s risk tolerance. “The account fees were in-line with the actual amounts invested,” he wrote, “and were congruent with the industry fee averages for the amounts invested.”
REIT Dispute Alleges Poor Advice, Service
On April 29, 2024, another investor filed a dispute involving Mr. Nitz. This claim alleged that he recommended an unsuitable non-traded real estate investment trust, offered poor tax advice, and provided poor service. The dispute, which is still pending, seeks $50,000 in alleged damages.
Mr. Nitz also issued a statement defending against the allegations in this dispute. Over the course of his “Broker Comment,” he asserted that he makes clear to clients that they should consult with a tax advisor about tax questions. He added that he told the claimants that the non-traded REIT would likely be “an 8 to 10 year commitment,” and that the customer’s investment in the product did not exceed 10% of their net worth, in accordance with his firm’s compliance rules. “Non-publicly traded REIT’s generally performed well up until the pandemic in 2020,” he wrote, “when virtually all sectors of commercial real estate experienced valuation pressures due to much higher lease refinancing costs, which were a by-product of the highest inflation in the United States since the 1980’s.”
Steward Partners Investment Solutions Representative
Steward Partners Investment Solutions’ website features a brief biography of Mr. Nitz that outlines his work and qualifications. “He believes every client should have a plan for their financial future,” it reads. “Stephen has met rigorous professional standards and adheres to the principles of integrity, objectivity, competence, fairness, confidentiality and diligence when providing financial service to clients.”
FINRA: Stephen Nitz Based in Newtown, Connecticut
Stephen Nitz launched his career as a broker when he registered with Becker Paribas in 1984. Over the following decades, he went on to work with a variety of firms. These include Infinex Investments, Hartford Equity Sales Company, and Osaic Institutions. He joined his current member firm, Steward Partners, in May 2024, and remains in its Newton, Connecticut office today. With 37 years of experience as a broker, he has completed seven industry exams, including the Series 66.
At MDF Law, We Stand Up for Investors
MDF Law has recovered more than $100 million in losses for the victims of broker fraud. If you have complaints regarding investments recommended by Stephen Nitz, call our team to discuss your case. We currently offer free consultations across the US and only receive a fee if you win your case. Your window to file a claim may be limited, so we encourage you to avoid delay. Call 800-767-8040 today.