Equitable Advisors (Formerly AXA Advisors)Lawsuit – Regulatory History & Investor Claims
Equitable Advisors, LLC (formerly AXA Advisors, LLC) (CRD #6627 / SEC #801-14065, 8-17883) is a dual-registered broker-dealer and investment advisor headquartered in New York, New York. The firm reported $1.2 billion in revenue in 2022, with 3,710 registered representatives and $27 billion in assets under management. Investors who suffered losses may be eligible to recover damages through FINRA arbitration.
Prior to June 2020, the firm operated under the name AXA Advisors, LLC. According to Smart Asset, the name change did not alter the firm’s operations.
According to FINRA BrokerCheck, Equitable Advisors has 26 regulatory actions and 11 arbitrations on its record, reflecting disciplinary history and customer disputes.
Regulatory Actions & Broker Misconduct
Continuing Complaints Over Unsuitable Variable Annuities (2025-2026)
Customer complaints alleging unsuitable variable annuity and variable universal life recommendations have continued to be filed against Equitable Advisors representatives into 2025 and 2026, including a January 2025 complaint against broker Michael Heck alleging unsuitable recommendations and misrepresentation, and pending 2026 complaints involving brokers Kevin Luerssen and Michael Mosslih over variable annuity and VUL policy suitability. These cases reflect the same pattern of variable annuity supervision concerns described throughout the firm’s disciplinary history below.
May 2022 – Unsuitable Variable Annuity Recommendations
A Woodland Hills, CA broker was fined $5,000 and suspended for three months after recommending a trust purchase a deferred variable annuity using withdrawals from an indexed annuity, resulting in unnecessary tax liabilities in violation of FINRA Rules 2010 and 2111.
July 7, 2025 – Permanent Bar for Fictitious Applications
Former broker Cody M. Anderson (CRD#: 5999762) was permanently barred by FINRA for failing to respond to requests for information following his 2024 termination. He was discharged for allegedly submitting fictitious variable annuity applications.
October 19, 2021 – Improper Settlement Conditions
FINRA fined Equitable Advisors $20,000 after finding the firm executed a customer settlement agreement that improperly conditioned the settlement on the customer not opposing a broker’s request to expunge the dispute from his record, in violation of FINRA Rule 2081. FINRA found the firm should have detected and removed the improper language before the customer signed.
2021-2022 – Anthony DiDonna: Unauthorized Transactions and Misappropriation
Equitable Advisors terminated broker Anthony Vincent DiDonna in April 2021 for unauthorized transactions and misappropriation of client funds. A customer alleged that transfers were made from their account to fund unauthorized investments and that a signature on account-opening documents had been forged; the dispute settled for $59,787.18. After DiDonna failed to respond to FINRA’s subsequent investigation, he was automatically and permanently barred from the securities industry, effective March 2022.
October 14, 2021 – Selling Away Allegations
FINRA barred Edgar Kleydman (CRD#: 2727571) for allegedly engaging in private securities transactions without notifying AXA/Equitable Advisors and refusing testimony. His record shows three customer complaints.
October 21, 2021 – Fraud Conviction
Former advisor James Simpson, 80, pleaded guilty to defrauding clients out of over $400,000 in a “special investment opportunity” scheme, using the funds for personal benefit and to pay other investors.
March 2014 – NY Regulator Fine
AXA Equitable paid $20 million for changing investment strategies of certain variable annuities without providing adequate notice to regulators, potentially limiting customer returns.
2015 – Improper Court Filings
FINRA fined the firm $150,000 for filing court cases instead of arbitrating 102 disputes with former representatives, as required under FINRA rules.
Junk Bond Misrepresentations
The firm paid a $600,000 fine and $172,000 in restitution for marketing junk bond funds as investment-grade to 401(k) plan participants over a five-year period, impacting 800 plans and 6,200 participants.
Broker Due Diligence and Supervision
Broker-dealers like Equitable Advisors are required under FINRA Rule 3110 to establish and maintain supervisory systems to ensure compliance with securities laws and industry regulations.
This includes:
- Conducting thorough background checks on brokers before hiring.
- Monitoring transactions and communications for red flags.
- Reviewing investment recommendations to ensure they are suitable for the customer’s objectives and risk tolerance.
Failure to properly supervise brokers can expose a firm to liability if clients suffer losses due to misconduct such as unsuitable investments, selling away, or fraudulent activity.
Investor Recovery Options
When brokers violate securities laws, their firms can be held liable for investment losses through FINRA arbitration. FINRA arbitration is typically faster and more cost-effective than traditional court litigation.
Class Action vs. Individual Arbitration
While class actions group many small claims together, investors with losses over $100,000 often recover more through an individual FINRA arbitration claim.
FAQs About Equitable Advisors (AXA Advisors) Complaints
1. What types of misconduct have been reported at Equitable Advisors?
Misconduct allegations include unsuitable investment recommendations, selling away, misrepresentation of investment products, unauthorized transactions and misappropriation of funds, submission of fictitious applications, and outright investment fraud.
2. Can I recover losses from investments with Equitable Advisors?
Possibly. If your losses resulted from broker misconduct or lack of supervision, you may be able to file a claim through FINRA arbitration to seek recovery.
3. How can The White Law Group help?
Our attorneys evaluate claims, prepare the necessary filings, and represent investors in FINRA arbitration hearings nationwide. We may also negotiate settlements before arbitration concludes.
Free Consultation
If you invested with Equitable Advisors (AXA Advisors) and suffered losses, call The White Law Group at 888-637-5510 for a free, no-obligation consultation. Speak with an attorney about your potential FINRA arbitration claim today.
The firm has handled over 800 FINRA arbitration cases nationwide and represents investors in claims involving unsuitable investments, misrepresentation, unauthorized trading, and other securities violations.
With offices in Chicago, IL and Seattle, WA, The White Law Group reviews cases in all 50 states.
