FINRA hit Wells Fargo Investments with a $2 million fine and ordered the firm to pay restitution for making unsuitable sales of reverse convertibles to elderly clients and for not providing breakpoints on unit investment trust sales to eligible customers.

The regulatory agency also issued a complaint against former Wells Fargo registered rep, Alfred Chi Chen, who allegedly recommended the reverse convertibles and made unauthorized trades in several client accounts, including accounts of dead customers.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.