Lawrence Nicholas Passaretti (Larry Passaretti) – Financial Advisor/Broker Larry Passaretti Ordered to Cease and Desist by SEC | Goodman & Nekvasil P.A., May Recover Investor Losses
Larry Passaretti is a licensed financial advisor with American Portfolios Financial Services, Inc. According to Lawrence Passaretti’s BrokerCheck report, Lawrence Passaretti was ordered to cease and desist by the SEC.
According to the SEC:
On the basis of this Order and Larry Passaretti’s Offer, the Commission finds that these proceedings arise out of improper mutual fund share class selection practices by registered investment adviser PPS and its majority owner, Respondent Larry Passaretti. From July 2012 to March 2016 (the “Relevant Period”), PPS and Larry Passaretti invested advisory clients in mutual fund share classes that charged 12b-1 fees instead of less expensive share classes of the same funds that were available without 12b-1 fees in many instances. PPS’s disclosures failed to adequately inform its clients of the conflict of interest presented by its investment adviser representatives’ (“IARs”) share class selection practices. In particular, PPS did not disclose that its IARs had a conflict of interest as a result of the additional compensation an IAR received for investing advisory clients in a fund’s 12b-1 fee paying share class when a less expensive share class was available for the same fund. Furthermore, the practice of investing advisory clients in mutual fund share classes that charged 12b-1 fees rather than less expensive share classes of the same funds was inconsistent with PPS’s duty to seek best execution for those transactions. Additionally, PPS failed to adopt and implement written policies and procedures reasonably designed to prevent violations of the Advisers Act and the rules thereunder in connection with its mutual fund share class selection practices. As a result of the conduct, Larry Passaretti caused PPS’s willful violations of Sections 206(2), 206(4), and 207 of the Advisers Act and Rule 206(4)-7 thereunder.
Goodman & Nekvasil P.A. May Recover Investor Losses
If you lost money on investments with Larry Passaretti and believe the investments may have been unsuitable or otherwise improper for you, we would like to discuss the possibility of your retaining our firm to represent you in an arbitration action concerning Larry Passaretti’s conduct. There is no charge for an evaluation of your case. Further, we handle our cases on a contingency fee basis. This means that unless we recover money for you, we charge no attorney’s fee. Unless you recover any money, you pay us nothing, not even the costs and expenses which the firm will advance on your behalf.
Kalju Nekvasil, Esq., formerly regional counsel with the NASD, now known as FINRA, has practiced in this area of the law for more than 35 years. Goodman & Nekvasil, P.A. has recovered more than $180 million on behalf of victimized investors. If you lost money on investments with Larry Passaretti and would like your case evaluated by a securities attorney (again, there is no charge for an evaluation and all cases are handled on a purely contingency fee basis), please contact us.
Some of the information in this blog post was obtained on 1/23/2020 directly from FINRA BrokerCheck, without any changes. If you believe this information was reported incorrectly, please contact our firm at 1-800-500-4442.
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