Next Financial Group Fined Over Conduct of Charles Kulch
Have you lost money with financial advisor Charles Kulch of Nashua, New Hampshire? We are investigating allegations made by the New Hampshire Securities Bureau against Next Financial Group, regarding the conduct of one of its advisors, Charles Kulch. New Hampshire alleged that the firm failed to reasonably supervise Kulch regarding sales of alternative investments to clients.
New Hampshire alleged that the firm allowed Kulch to sell alternative investments like real estate investment trusts (REITs). New Hampshire further alleged that the investments may have been unsuitable for customers, that some customers were over the age of 80, and that customers had too high concentrations of their portfolio in REITs. To settle these allegations, Next Financial Group agreed to pay a $235,000 fine and $90,000 in costs, to offer remediation to affected customers, and to put Charles Kulch under heightened supervision.
Charles Kulch has been a financial advisor and registered representative of NEXT Financial Group from 2006 to the present. He worked at branch offices in Nashua, New Hampshire and has also been the subject of six customer complaints.
Brokerage firms like NEXT Financial Group have a responsibility to adequately supervise all representatives who are registered through their firm. Brokerage firms also must take steps to ensure that their financial advisors follow all securities rules and regulations, as well as internal firm policies. When brokerage firms fail to adequately supervise their registered representatives, they may be liable for investment losses sustained by customers.
Israels & Neuman PLC is a securities and investment fraud law firm with offices in Ann Arbor, Michigan; Denver, Colorado; Seattle, Washington; and Phoenix, Arizona. We represent investors in FINRA arbitration proceedings in all 50 states, including investors in New Hampshire in the past. Our attorneys have represented over one thousand investors against many brokerage firms in the past, including NEXT Financial Group.