Last Updated: February 2025
Investors trust financial advisors and broker-dealers to provide sound, ethical investment guidance. However, a thorough examination of Cadaret, Grant & Co., Inc.’s regulatory history reveals a pattern of compliance failures and regulatory actions that potential investors and current clients should carefully consider.
Company Overview
Cadaret, Grant & Co., Inc. is a registered broker-dealer and investment adviser firm founded in 1981 and headquartered in Syracuse, New York. With registrations across 52 U.S. states and territories, the firm is affiliated with LPL Financial and operates under the broader Atria Wealth Solutions umbrella.
Significant Regulatory Actions
The firm has faced numerous substantial regulatory actions, demonstrating persistent compliance and supervisory deficiencies:
SEC Enforcement Actions (2024):
- $4,213,351 in disgorgement
- $828,075 in prejudgment interest
- $1,000,000 civil monetary penalty
- Primary violations included:
- Failure to disclose conflicts of interest
- Inappropriate mutual fund share class recommendations
- Inadequate best execution practices
FINRA Sanctions:
- Multiple censures and fines totaling hundreds of thousands of dollars
- Violations related to:
- Unsuitable variable annuity recommendations
- Inadequate supervision of registered representatives
- Failure to maintain proper supervisory procedures
Customer Arbitration Highlights:
Cadaret, Grant & Co., Inc. has been subject to multiple customer arbitration awards, including:
- A $115,116 award in 2003 related to annuity misrepresentations
- A $464,514 award in 2003 involving common stock disputes
- An $88,028 award in 2004 for unauthorized trading and supervision failures
Individual Financial Advisor Complaints
We are investigating financial advisors with this firm and will shortly update with specific individuals who have been or are currently subject to customer complaints and regulatory scrutiny.
Key Takeaways for Investors:
- Persistent regulatory compliance issues
- Multiple significant monetary sanctions
- Repeated failures in supervisor oversight
- Potential risks to investor assets and financial well-being
Frequently Asked Questions (FAQs)
What should I do if I suspect my financial advisor has mishandled my investments?
Take these immediate steps:
- Gather all relevant documentation, including account statements, communications, and transaction records
- Keep a detailed timeline of events
- Consult with a securities litigation attorney to evaluate your potential case
- Do not confront your advisor directly before seeking legal guidance
How long do I have to file a claim against a broker-dealer?
Statute of limitations varies depending on:
- The type of claim (arbitration vs. lawsuit)
- State-specific regulations
- Nature of the misconduct Most securities fraud claims have a statute of limitations between 2-6 years, but some exceptions may apply. Consulting with a securities attorney can help you understand your specific timeframe.
What types of compensation can I potentially recover?
Potential recoveries may include:
- Investment losses
- Fees and commissions improperly charged
- Prejudgment interest
- Punitive damages in cases of egregious misconduct The exact recovery depends on the specific circumstances of your case.
How much does it cost to pursue a claim against a broker-dealer?
Many securities litigation attorneys, including Patil Law, P.C., work on a contingency fee basis, which means:
- No upfront costs to you
- Attorney fees are only paid if you win or settle your case
- Initial consultations are typically free This approach ensures access to legal representation with minimal financial risk to you.
What evidence is most important in a broker-dealer misconduct case?
Critical evidence includes:
- Account statements
- Email communications
- Phone records
- Investment recommendations
- Compliance records
- Expert financial analysis an experienced securities attorney can help you identify and collect the most compelling evidence.
Empowering Investors, Protecting Your Financial Future
If you’ve been impacted by potential financial misconduct, don’t wait. Protect your rights and explore your options.
Call Patil Law, P.C. now at 800-950-6553 for a free, confidential consultation.
This post is intended solely for informational purposes and does not constitute legal advice. Every case is unique and should be evaluated individually by qualified legal counsel. For more brokerage firm investigations by Patil Law, please visit the Brokerage Firm Investigations page.