Mark Alan Kemp Sanctioned by State Regulators
The White Law Group is investigating potential securities claims involving financial advisor Mark Alan Kemp of Corpus Christi, Texas.
Texas State Securities Regulators reportedly suspended financial advisor Mark Alan Kemp’s registrations with the Securities Commissioner, according to a disciplinary order. According to the order, the majority of Kemp’s clients were elderly investors on the brink or at the beginning of retirement and were rolling over their employee-sponsored 401Ks who were looking for a way to replace their loss of income to help them get through retirement.
To replace the clients’ loss of income, Kemp allegedly used reverse convertibles, which typically generate a higher stream of income than is available from other bonds or bank products. Kemp purportedly purchased reverse convertibles in certain client accounts and in quantities that exceeded the risk tolerances these clients were willing to endure. According to the order, Kemp had no reasonable basis to believe that recommending reverse convertibles was in the best interest of his clients.
Kemp’s alleged purchasing of high-risk, complex reverse convertibles notes that were linked to volatile equities in certain client accounts was unsuitable given the customers’ risk tolerance, investment objective(s), and limited investment experience. According to the order, this constitutes an inequitable practice in the sale of securities.
FINRA BrokerCheck: Mark Alan Kemp
The FINRA BrokerCheck tool is a free online tool that allows investors to research and verify the background and credentials of financial brokers, brokerage firms, and investment advisors registered with FINRA.
Mark Alan Kemp reportedly has a history of regulatory issues, according to his FINRA BrokerCheck report. He has twelve (12) customer complaints on his record, two employment separations, and two regulatory actions. The customer complaint allegations include “overconcentration, unsuitable recommendations and misrepresentation of high-risk and unconventional investments,” among others.
According to FINRA, Mark Alan Kemp was reportedly registered with the following FINRA firms during his career, among others.
MCNALLY FINANCIAL SERVICES CORPORATION (CRD#:121196) 5941 Patton Street, Corpus Christi, TX 78414 Registered with this firm since 4/5/2010
04/25/2008 – 11/16/2009 NEXT FINANCIAL GROUP, INC. (CRD#:46214)CORPUS CHRISTI, TX
01/27/1999 – 05/15/2008 HORNOR, TOWNSEND & KENT, INC. (CRD#:4031)CORPUS CHRISTI, TX
Failure to Supervise
All broker-dealers have a responsibility to adequately supervise their advisors. They must ensure they have procedures and systems in place to detect broker misconduct. Brokerage firms that fail to monitor the business activities of their employees may be liable for investment losses due to negligent supervision for the misconduct of their employees.
When brokers violate securities laws, such as making unsuitable investments, the brokerage firm they are working with may be liable for investment losses through FINRA Arbitration.
Class Action Lawsuit vs. Individual FINRA Arbitration Lawsuit
You may wonder whether a large class action lawsuit is a better litigation option than an individual FINRA arbitration case. The answer depends on many factors, but typically if the loss sustained is large (say larger than $100,000), an individual arbitration claim is likely a better option. Class action lawsuits as a recovery option are more appropriate for grouping large numbers of individuals who have small claims – too small to generally pursue individually.
FINRA Lawsuits
If you have suffered investment losses with Mark Alan Kemp, the securities attorneys at the White Law Group may be able to help you by filing a FINRA lawsuit. Please call our offices at (888) 637-5510 for a free consultation. We take cases in all 50 states including Texas.
National Securities Attorneys
The White Law Group, LLC is a national law firm in securities fraud, securities arbitration, investor protection, and securities regulation and compliance. With offices in Chicago, Illinois and Seattle, Washington, the firm is dedicated to assisting investors across all 50 states with claims against their brokerage firms. Since its founding in 2010, The White Law Group has handled over 800 FINRA arbitration cases.
Last modified: May 5, 2025
