Stifel Nicolaus has been fined more than $1 million by FINRAÂ for the “unsuitable sales of leveraged and inverse ETFs.” While the fine in de minimus compared to the JPMorgan-esque amounts, the remarks by FINRA raise considerable risks for any apparent fiduciary bucket-shop promoting these popular instruments…Â “performance can quickly diverge from the performance of the underlying index or benchmark. It is possible that investors could suffer significant losses even if the long-term performance of the index showed a gain. This effect can be magnified in volatile markets.”Nothing we don’t already know but this time from a regulator…
Stifel Nicolaus has been fined more than $1 million by FINRA
