Jon VanSlooten, a registered representative from Toledo, Ohio, formerly with Edward Jones, was suspended from FINRA membership as a result of an investigation into his discretionary trading without the consent of his customers or firm. VanSlooten entered into an acceptance, waiver and consent agreement with FINRA in which he neither admitted nor denied the findings, but agreed to a suspension of three months and a fine of $7,500.
In June 2017, Jon VanSlooten agreed to the suspension and FINRA published its findings that he participated in discretionary trading without telling his customers. Discretionary trading occurs when a broker is permitted to sell securities and investments on his or her own with the agreement of the client. The broker is essentially given control and discretion over when, where and in what amounts the transactiosn will be made.
VanSlooten made nearly 600 trades for four of his customers without gaining their consent or telling his firm. Edward Jones’ Written Supervisory Procedures do not allow discretionary trading and because of this, he was fined and suspended by FINRA.
Jon VanSlooten’s registration and disciplinary history
In order to lawfully sell investments to the public, one must either be registered or exempt from registration.
Jon VanSlooten was registered with Edward Jones from September 2008 to February 2016.
According to FINRA’s CRD disclosure report, VanSlooten has been the subject of one regulatory investigation.
FINRA is the primary regulator for broker dealers and registered representatives in the United States. FINRA’s role is to promulgate standards and practices for the brokerage industry and to ensure compliance with its rules by licensed entities and individuals.
FINRA has two primary ways to ensure compliance with the securities laws: by means of an enforcement unit that investigates and disciplines wrongdoing, and through the establishment of an arbitration forum where investors can resolve disputes against broker dealers. FINRA’s arbitration forum, FINRA Dispute Resolution is the largest arbitration forum in the country for resolving investor disputes, and typically processes over 10,000 filings annually.
The Law Office of David Liebrader practices exclusively in the field of investment loss recovery. For the past 24 years, we have dedicated our law practice to assisting investors who have been victims of investment fraud via unlawful and unsuitable investment transactions. During that time, we have recovered money for over one thousand individuals, pension plans, trusts, and companies. The recoveries we have obtained via judgments, awards and settlements on behalf of our clients exceed $40,000,000.
If you suspect that you have been the victim of investment fraud, or had a financial advisor recommend unsuitable investments to you, call us today for a free, confidential consultation at (702) 380-3131.