Brokerage Firm Alert: Our Investment Fraud Attorneys Are Investigating Infinex Investments Inc.
Did You Lose Money Because of Infinex Investments? Are You Aware of Complaints and Fines Against Infinex Investments?
Updated on: December 27, 2023
Infinex Investments Inc. (“Infinex Investments”) (CRD # 35371) is a broker-dealer and has been the subject of at least eight (8) complaints filed by regulatory organizations like FINRA and many more by investors like yourself. At Patil Law, we have investigated Infinex Investments, its regulatory complaints and fines, and its customer complaints. If you’ve invested your hard-earned money with Infinex Investments, you should be very concerned about any regulatory actions, regulatory fines, or customer complaints against your brokerage firm.
Our team of attorneys specialize in representing investors with claims of fraud, negligence, and breach of fiduciary duty against this organization and its financial advisors. As an investor, you may be entitled to compensation for losses accrued due to mismanagement of your investments.
If you believe you have a claim against Infinex Investments, you should strongly consider hiring an investment fraud lawyer and not wait until it’s too late to file a claim. Reach out to our legal team via the secure and private online form or call our firm directly toll-free at 1-800-950-6553 for a free consultation so that we can discuss your case and see what we can do to help you get the compensation you need and deserve. We do not charge anything for the ability to discuss your matter and evaluate your potential case.
Jump to Topic
Do I Have an Investment Fraud Case Against Infinex Investments?
How To File a Claim Against Infinex Investments To Get Your Money Back
Client Complaints – Is Your Financial Advisor on This List?
Did Misconduct By an Infinex Investments Advisor Impact Your Investments? What Can You Do?
Infinex Investments Has Many Regulatory Complaints and Fines
A Closer Look Into Infinex Investments’ Regulatory Issues
Next Steps and Free Consultation with Our Legal Team
Do I Have an Investment Fraud Case Against Infinex Investments?
✅ YES, if you’ve experienced financial losses due to the actions or misconduct of Infinex Investments or its staff, you have the right to pursue legal action against them. You can sue Infinex Investments but the odds are you signed away your right to sue in court and agreed to resolve your dispute in a FINRA arbitration proceeding.
FINRA arbitration proceedings are generally private proceedings that can last anywhere from a few months to approximately a year. Our attorneys have personal experience in representing clients in FINRA arbitration proceedings and know very well how you can not only sue Infinex Investments in FINRA arbitration proceedings, but WIN that arbitration. The easiest way to know if you have a case against Infinex Investments is to reach out to our legal team at Patil Law via the secure and private online form or call us toll-free at 1-800-950-6553 for a complimentary consultation.
Who is Infinex Investments?
Infinex Investments (CRD # 35371) is a registered broker-dealer. It operates as a full-service independent broker-dealer, providing a range of financial products and services to individual investors and financial advisors. As a registered broker-dealer, Infinex Investments is subject to regulations and oversight by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).
It is required to comply with industry standards and regulations to ensure the protection of its clients’ interests. A failure to comply with industry standards by either its brokers or the firm itself can result in disciplinary actions, fines, or other penalties imposed by regulatory authorities.
How To File A Claim Against Infinex Investments To Get Your Money Back
If you have questions about Infinex Investments, its advisors, or the management or performance of your accounts, please contact our legal team at Patil Law via the secure and private online form or call us toll-free at 1-800-950-6553 for a free and complimentary initial consultation. Our attorneys have experience handling well over a thousand securities arbitration claims, and our law firm has successfully recovered over $25 million for our clients to date.
We understand the stress that comes along with realizing that your financial advisor or brokerage firm has made poor decisions with your money. We can help you, as we have helped hundreds of other clients in the past.
Client Complaints – Is Your Financial Advisor on This List?
There have been scores of customer complaints filed against Infinex Investments stockbrokers and investment advisors over the years. Many of these complaints deal with financial advisor misconduct, poor or unsuitable investment recommendations, failure by these brokerage firms to supervise their employees (the financial advisors), and general fraud against consumers. We have launched many investigations of current and former Infinex Investments advisors:
- John Pronovost with Infinex Investments (previously with Cambridge Investment Research Advisors and Cambridge Investment Research)
- Andrew Pandis with Cetera Investment Services (previously with Infinex Investments and Cetera Investment Advisers)
Did Misconduct By an Infinex Investments Advisor Impact Your Investments?
If you have lost money investing with any of these Infinex Investments advisors or others within this brokerage firm, it’s important that you reach out to an investment loss attorney quickly because the statutes of limitations can bar your claims. Call our legal team at Patil Law toll-free at 1-800-950-6553 or reach out to us via the secure and private online form for a free initial consultation.
Infinex Investments Has Many Regulatory Complaints and Fines
There have been approximately eight (8) state and self-regulatory body disclosure events against Infinex Investments; that is, final and formal proceedings initiated by a regulatory authority like the U.S. Securities and Exchange Commission (SEC) or self-regulatory body like the Financial Industry Regulatory Authority (FINRA) for a violation(s) of investment-related rules or regulations. In addition, there have been countless customer complaints filed against Infinex Investments for misconduct by its securities sales and investment advisory representatives that are not reported by the firm on its Central Depository Record.
Our legal team at Patil Law has reported and written about these regulatory problems and customer complaints over many years. A few of the notable FINRA Sanctions for its Supervisory Failures are below.
A Closer Look Into Infinex Investments’ Regulatory Issues
Infinex Investments has been repeatedly censured, warned, and fined for its own misconduct and failure to supervise its army of financial advisors. Details of eight (8) regulatory issues are listed below:
Fined $150,000 for Alleged Supervisory Failures In Applying Sales Charge Discounts to Eligible Customers (AWC No: 2014041841901)
Overview from FINRA’s Disciplinary Office:
From May 1, 2009 to April 30, 2014 (the “Relevant Period”), Infinex failed to apply sales charge discounts to certain customers’ eligible purchases of unit investment trusts (“UITs”) in violation of FINRA Rule 2010. In addition, Infinex failed to establish, maintain and enforce a supervisory system and written supervisory procedures reasonably designed to ensure that customers received sales charge discounts on all eligible UIT purchases in violation of NASD Rule 3010 and FINRA Rule 2010.
Fined $75,000 for Allegedly Making Unsuitable Recommendations Involving Non-Traditional ETFs (AWC No: 2011025436101)
Overview from FINRA’s Disciplinary Office:
During the period from April 2009 through March 2011 (the ”Relevant Period”), Infinex sold inverse and inverse-leveraged Exchange-traded Funds (“NonTraditional ETFs”). Leveraged ETFs seek to deliver multiples of the performance of the index or benchmark they track. Some Non-Traditional ETFs are “inverse” or “short,” meaning they seek to deliver the opposite of the performance of the index or benchmark they track. Some funds are both inverse and leveraged, meaning that they seek to achieve a return that is a multiple of the inverse performance of the underlying index or benchmark.
During the Relevant Period, Infinex permitted 35 registered representatives (including JT and JO) who received minimal training on Non-Traditional ETFs and who failed to perform reasonable diligence to understand the risks and features of the product, to recommend to 229 customers approximately 835 transactions in Non-Traditional ETFs. Accordingly, these recommendations lacked a “reasonable basis” and were unsuitable.
In addition, some of the recommendations were also unsuitable on a customer specific basis. Moreover, the prospectuses for the Non-Traditional ETFs at issue generally advised that they should not be held for more than one trading session or as long-term investments. Notwithstanding that general statement in the prospectus, some of the recommended purchases were held in customer accounts for longer than seven business days.
During the Relevant Period, Infinex also failed to establish and maintain a supervisory system, including written procedures, reasonably designed to achieve compliance with applicable NASD and FINRA rules relating to the sale of NonTraditional ETFs.
Fined $15,000 for Alleged Supervisory Failures In Providing Complete Corporate and Municipal Bond Order Tickets (AWC No: 2009016320901)
Overview from FINRA’s Disciplinary Office:
Infinex failed to include all of the terms and conditions on certain corporate bond and municipal bond order tickets, and did not maintain its corporate and municipal bond order ticket information in an easily accessible place. The firm also failed to establish and maintain a supervisory system, and establish, maintain and enforce written supervisory procedures (“WSPs”), reasonably designed to achieve compliance with order ticket recordkeeping and retention requirements.
This conduct violated NASD Conduct Rules 3010, 3110 and 2110, FINRA Rule 2010, MSRB Rules G-8, G-9 and G-27, and Rules 17a-3 and 17a~4 of the Securities Exchange Act of 1934 (“Exchange Act”).
Fined for Alleged Supervisory Failures In Providing Adequate Disclosures Regarding Its Mutual Fund Share Class Selection Practices And Fees (Docket/Case Number: 3-19036)
Overview from FINRA’s Disciplinary Office:
IA Release 5133, March 11, 2019: The Securities and Exchange Commission deems it appropriate and in the public interest that public administrative and cease-and-desist proceedings be instituted against Infinex Investments, Inc., (“respondent”). On the basis of this order and respondent’s offer, the Commission finds that these proceedings arise out of breaches of fiduciary duty and inadequate disclosures by the respondent in connection with its mutual fund share class selection practices and the fees it received. At times during the relevant period, respondent purchased, recommended, or held for advisory clients mutual fund share classes that charged 12B-1 fees instead of lower-cost share classes of the same funds for which the clients were eligible. Respondent received 12B-1 fees in connection with these investments. Respondent failed to disclose in its form ADV or otherwise the conflicts of interest related to (A) its receipt of 12B-1 fees, and/or (B) its selection of mutual fund share classes that pay such fees. During the relevant period, respondent received 12B-1 fees for advising clients to invest in or hold such mutual fund share classes. As a result of the conduct, respondent willfully violated Sections 206(2) and 207 of the Advisers Act.
Fined $125,000 for Alleged Supervisory Failures In Overseeing Representatives Operating On Bank Premises (Docket/Case Number: E-2017-0092)
Overview from FINRA’s Disciplinary Office:
Infinex failed to reasonably supervise its registered representatives operating on bank premises.
Fined $2,250 for Allegedly Filing Incorrect Insurance License Applications (Docket/Case Number: 2009-0136-S)
Overview from FINRA’s Disciplinary Office:
New York Insurance Department alleged that firm filed incorrect insurance license applications in 2004.
Fined $6,500 for Allegedly Operating Without Proper Registration In Illinois (Docket/Case Number: 0600605)
Overview from FINRA’s Disciplinary Office:
The respondent acted as a dealer in the State of Illinois without being properly registered in violation of Section 12.A and 12.C of the Illinois Securities Law. Respondent’s application for registration as a dealer in the State of Illinois is subject to denial pursuant to Section 8.E.(1)(G) of the Illinois Securities Law.
Fined $500 for Allegedly Transacting Business In Unregistered Branch Locations (Docket/Case Number: ST-96-2897-S)
Overview from FINRA’s Disciplinary Office:
From approximately 1/94, the firm allegedly transacted business from 1 or more Connecticut locations without registering those locations as branch offices under the Connecticut Uniform Securities Act.
Next Steps and Free Consultation with Our Legal Team
If you have questions about Infinex Investments, its advisors, or the management or performance of your accounts, please contact our team at Patil Law toll-free at 1-800-950-6553 for a free initial consultation. Or please reach out to us through our secure and private contact form and we will call you back quickly to discuss your case.
Our attorneys have experience handling well over a thousand securities arbitration claims, and our law firm has successfully recovered over $25 million for our clients to date. We understand the stress that comes along with realizing that your financial advisor or brokerage firm has made poor decisions with your money.
We can help you, as we have helped hundreds of other clients in the past. We are happy to serve you as well as to provide you with a custom report of your advisor’s and your brokerage firm’s complaints.