March, 2025 | Based in San Diego, CA
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Information About Brett Arthur Hartvigson
- Full Name: Brett Arthur Hartvigson
- CRD Number: 2263087
- Current Location: San Diego, CA
- Current Registration Status: Not currently registered
- State Licenses: Previously held Series 66, Series 63, Series 7, Series 6, and SIE licenses
- Experience: In the industry since 1992
- FINRA BrokerCheck: 1 Regulatory Event, 4 Customer Disputes, 1 Termination, 2 Financial Events
- Previous Employers: Independent Financial Group, LLC (04/2009-10/2023), LPL Financial Corporation (02/2006-05/2009), Thrivent Investment Management Inc. (07/2002-02/2006), Lutheran Brotherhood Securities Corp. (10/1992-07/2002)
- Ability to Recover Losses: Potential FINRA arbitration eligibility for recent investments
The Regulatory Action Against Brett Hartvigson: What Investors Need to Know
Brett Arthur Hartvigson, a former financial advisor based in San Diego, California, is currently facing serious regulatory scrutiny. According to FINRA records, Hartvigson was permanently barred from the securities industry on February 5, 2024. This severe action was taken after he refused to cooperate with a FINRA investigation stemming from a customer complaint.
The regulatory action, documented under case number 2023078455601, represents the most serious sanction FINRA can impose on a financial professional. When an advisor receives a permanent bar, they can no longer work in any capacity with any FINRA member firm, effectively ending their career in the regulated securities industry.
What makes this case particularly concerning for investors is that Hartvigson actively chose not to cooperate with regulators. According to FINRA’s findings, “Without admitting or denying the findings, Hartvigson consented to the sanction and to the entry of findings that he refused to produce information and documents requested by FINRA in connection with its investigation of the allegations made to it in a complaint.”
This resistance to regulatory oversight raises significant red flags about potential misconduct that may have impacted numerous investors who trusted Hartvigson with their financial futures.
Hartvigson’s Troubled Professional History: A Pattern of Complaints
Our investigation into Brett Hartvigson’s professional background reveals a concerning pattern of customer disputes and employment issues throughout his career. These incidents provide valuable context for understanding the current investigation.
Alternative Investment Concentration Allegations
One of the most significant complaints against Hartvigson came in September 2020, when an investor alleged overconcentration in alternative investments, specifically REITs (Real Estate Investment Trusts) and BDCs (Business Development Companies). The customer sought $580,000 in damages, and the case was ultimately settled for $350,000 in December 2021.
This settlement is particularly notable because of its size and because it centers on alternative investments, which often carry higher fees and greater risks than traditional investment vehicles. Overconcentration in these products can violate FINRA’s suitability rules, which require that recommendations be appropriate for the client’s financial situation, objectives, and risk tolerance.
Termination from LPL Financial
Hartvigson’s employment history also reveals a troubling incident. In March 2009, he was discharged from LPL Financial Corporation for “circumventing firm policy in relation to variable annuity transactions.” This termination suggests potential violations of internal compliance protocols designed to protect investors.
Variable annuities are complex investment products with significant fees and surrender charges. Circumventing firm policies regarding these products could potentially indicate unsuitable sales practices or attempts to generate excessive commissions at the expense of clients’ best interests.
Earlier Customer Disputes
Prior complaints against Hartvigson include:
- A 2007 dispute where a family member complained about loss of liquidity when brokerage account assets were moved to purchase fixed annuities and life insurance. This case settled for $11,182.57.
- A 2004 allegation that a customer was not informed of the risks involved in purchasing a variable universal life contract. This was settled for $750.49.
- A 2002 complaint regarding the suitability of a variable universal life product that resulted in a settlement of $65,054.51.
These earlier complaints establish a potential pattern of practice involving insurance-based investment products that may have been unsuitable for the customers involved.
Red Flags for Investors: The Warning Signs You Might Have Missed
The Hartvigson case highlights several red flags that investors should be vigilant about when working with any financial advisor:
1. Overconcentration in Alternative Investments
One of the most common forms of broker misconduct is overconcentration (lack of diversification) in a particular type of investment. In Hartvigson’s case, the focus appeared to be on alternative investments like REITs and BDCs.
These products often come with:
- Limited liquidity, making them difficult to sell when needed
- High fees and commissions for the advisor
- Complex structures that many investors struggle to understand
- Higher risk profiles than traditional investments
FINRA Rule 2111 requires that advisors recommend suitable investments based on the customer’s investment profile. Overconcentration in high-risk alternatives may violate this fundamental obligation.
2. Variable Annuity Sales Practices
Hartvigson’s termination from LPL Financial for circumventing policies related to variable annuity transactions is particularly troubling. Variable annuities are often legitimate investment vehicles, but they have been at the center of numerous sales practice abuses due to:
- High commissions that can incentivize inappropriate sales
- Surrender charges that can lock up an investor’s money for years
- Complex fee structures that are difficult for average investors to understand
- Tax implications that may not be fully explained to customers
FINRA has repeatedly emphasized the importance of suitability in variable annuity sales through Regulatory Notices and enforcement actions.
3. Non-Cooperation with Regulators
Perhaps the most significant red flag in this case is Hartvigson’s refusal to cooperate with FINRA’s investigation. When a financial professional refuses to provide information or documents requested by regulators, it often suggests there may be serious misconduct they are attempting to conceal.
FINRA Rule 8210 requires members to provide information and testimony when requested as part of an investigation. Violation of this rule typically results in an automatic bar from the industry, as occurred in Hartvigson’s case.
4. Financial Difficulties
The FINRA BrokerCheck report also reveals that Hartvigson has had financial difficulties, including two compromise settlements with creditors:
- In 2017, he settled a $19,582.76 debt with Bank of America for $10,770.52
- In 2016, he settled a $27,512.98 debt with American Express for $11,000.00
While financial problems do not necessarily indicate investor harm, they can create pressure on advisors to generate commissions, potentially at the expense of making suitable recommendations to clients.
Legal and Regulatory Framework: Understanding Your Protections
Financial advisors are bound by numerous regulations designed to protect investors. Understanding these rules can help you identify whether your advisor may have violated their legal obligations to you:
FINRA Rule 2010: Standards of Commercial Honor
This fundamental rule requires brokers to observe high standards of commercial honor and just and equitable principles of trade. This broad ethical standard underlies all of a broker’s obligations to their clients.
FINRA Rule 2111: Suitability
Brokers must have a reasonable basis to believe that a recommended transaction or investment strategy is suitable for the customer based on their investment profile, including:
- Age
- Financial situation and needs
- Tax status
- Investment objectives
- Investment experience
- Time horizon
- Liquidity needs
- Risk tolerance
FINRA Rule 3260: Discretionary Accounts
This rule governs accounts where brokers have authority to make trades without consulting the customer first. It requires:
- Prior written authorization from the customer
- Acceptance of the account by the broker-dealer
- Regular review of transaction activity
FINRA Rule 2020: Use of Manipulative, Deceptive or Other Fraudulent Devices
Brokers are prohibited from using manipulative, deceptive, or other fraudulent devices or contrivances in connection with the purchase or sale of securities.
FINRA Rule 3110: Supervision
Brokerage firms have a duty to properly supervise their registered representatives. Failures in supervision can make the firm liable for losses caused by their brokers’ misconduct.
Guidance for Affected Investors: Steps to Take If You’re a Hartvigson Client
If you invested with Brett Hartvigson or Phoenix Private Wealth Management, Inc., his disclosed “doing business as” name, you should consider taking the following steps:
1. Review Your Account Statements and Transaction History
Carefully examine all account statements, confirmations, and other documents related to your investments. Look for:
- Investments you don’t recognize or don’t remember authorizing
- Excessive trading activity
- Overconcentration in particular types of investments, especially alternative investments
- Unexpected fees or charges
Request copies of all account documents if you don’t have them. Broker-dealers are required to maintain these records.
2. Assess the Suitability of Your Investments
Consider whether the investments recommended to you were appropriate given your:
- Investment objectives
- Risk tolerance
- Financial situation
- Age and retirement timeline
- Liquidity needs
If you were placed in high-risk or illiquid investments despite having a conservative investment profile or needing access to your funds, this may indicate unsuitable recommendations.
3. Document All Communications
Gather all communications with Hartvigson, including:
- Emails
- Text messages
- Letters
- Notes from meetings or phone calls
- Marketing materials you received
These documents can be crucial in establishing what was represented to you about investments and their risks.
4. Understand Time Limitations
Be aware that there are strict time limitations for filing claims:
- FINRA arbitration claims generally must be filed within six years of the event giving rise to the claim
- State securities laws may have different statutes of limitations
- The sooner you act, the better positioned you are to recover losses
5. Consult with an Experienced Securities Attorney
An investment fraud attorney can help you:
- Evaluate whether you have a viable claim
- Calculate the full extent of your damages
- Navigate the FINRA arbitration process
- Negotiate with brokerage firms for potential settlements
- Represent you if your case proceeds to a hearing
How Our Securities Fraud Attorneys Can Help You Recover Losses
Our law firm specializes in helping investors who have suffered losses due to broker misconduct. We have a proven track record of recovering funds for victims of investment fraud through FINRA arbitration and other legal remedies.
Forensic Account Analysis
Our team conducts thorough forensic analyses of your investment accounts to:
- Identify unsuitable recommendations
- Calculate trading losses
- Detect excessive trading (churning)
- Uncover hidden fees and commissions
- Determine whether investments matched your stated objectives
FINRA Arbitration Expertise
We have extensive experience navigating the FINRA arbitration process, which is typically faster and less costly than traditional court litigation. Our attorneys:
- Have handled hundreds of FINRA arbitration cases
- Understand how to effectively present evidence to arbitration panels
- Know how to counter common defenses raised by brokerage firms
- Can guide you through every step of the process
Contingency Fee Structure
We work on a contingency fee basis, meaning:
- No recovery, no fee
- Our interests are aligned with maximizing your recovery
- You can pursue your claim without upfront legal costs
- We advance all case expenses
Securities Industry Knowledge
Our attorneys have in-depth knowledge of the securities industry, including:
- Complex investment products
- Regulatory requirements
- Industry standards and practices
- How brokerage firms operate
- Common types of broker misconduct
If you’ve suffered investment losses while working with Brett Arthur Hartvigson or have concerns about how your investments were handled, taking prompt action is essential. Time limitations apply to investment fraud claims, and the sooner you seek legal advice, the better your chances of recovery. Call 800-950-6553 today or visit our website to schedule your free, confidential consultation with our experienced securities attorneys.
