Osaic Wealth Inc. Complaints: Regulatory Overview and History

Osaic Lawsuit & Complaints – Review of Osaic Wealth, Inc.

Osaic Wealth, Inc. (CRD#: 23131 | SEC#: 801-54859, 8-40218), headquartered in Jersey City, NJ, is a dual-registered broker-dealer and investment adviser. The White Law Group is investigating potential FINRA arbitration claims involving Osaic Wealth and its affiliated firms.

According to FINRA, the firm has 88 disclosure events, including 50 regulatory actions and 31 arbitrations—many stemming from Osaic complaints filed by investors. Below is a summary of recent regulatory sanctions and broker misconduct involving Osaic Wealth and its associated entities.

Recent Regulatory Sanctions Involving Osaic Wealth

• December 20, 2024 – FINRA Restitution Order ($3M+)
  FINRA censured Osaic Wealth, Inc. and ordered it to pay $3,096,490 plus interest in restitution. The firm allegedly failed to supervise whether eligible customers received mutual fund sales charge waivers and breakpoints. Osaic consented to the findings without admitting or denying them.
• August 14, 2024 – SEC Fine ($18 Million)
  The SEC sanctioned Osaic Wealth $18 million for failing to preserve and monitor employee communications on personal devices and unapproved platforms. The firm must now implement enhanced compliance procedures.
• March 14, 2024 – Cybersecurity Failures ($150,000 Fine)
  Osaic was fined $150,000 for failing to maintain adequate cybersecurity protections and supervisory controls to safeguard customer data. The firm was also required to implement multi-factor authentication.
• November 2024 – FINRA Fine for Options Trading Misconduct
  Osaic failed to supervise excessive and unsuitable options trading, exposing one customer to potential losses 22 times her liquid net worth. The firm was censured and fined.

Broker Misconduct & Osaic Complaints

• Marat Likhtenstein – Barred by FINRA (Aug. 2024)
  Former Osaic broker Marat Likhtenstein was barred after refusing to provide documents and testimony in a FINRA investigation involving alleged undisclosed personal loans with a client. He was discharged by Osaic in June 2024.
• SagePoint (Osaic) Broker – Barred for Promissory Note Sales
  In February 2024, a SagePoint broker (now Osaic) was barred for allegedly selling promissory notes without approval. He refused to cooperate with FINRA’s investigation.
• Rodney Ferruso – Barred for Short-Term Mutual Fund Trading
  Ferruso (CRD#: 1457661) was barred in 2023 after allegedly engaging in excessive short-term mutual fund trading and declining to testify during the investigation. He was affiliated with Royal Alliance, now under Osaic Wealth.

Osaic Wealth Acquisition & Rebranding

Osaic Wealth, formerly Advisor Group, is consolidating several independent broker-dealers under one brand. In May 2024, Osaic completed its $115 billion acquisition of Lincoln Financial Advisors Corporation and Lincoln Financial Securities Corporation, adding 1,400 advisors.

As of now, Osaic includes the following rebranded entities:

• SagePoint Financial
• FSC Securities Corporation
• Royal Alliance Associates
• Securities America
• Triad Advisors
• Woodbury Financial Services
• American Portfolios Financial Services Inc.
• Infinex Investments (Osaic Institutions)

Summary of Additional Regulatory History

• Custody Rule Violations (Sept. 2023) – SEC fined Osaic-owned advisers $100,000 each for failing to obtain third-party verification of client assets.
• 529 Plan Supervision Failures (Jan. & Dec. 2023/2021) – Osaic and affiliates failed to ensure eligible clients received waivers. Restitution exceeded $1 million.
• GPB Capital Disclosures (Nov. 2022) – Osaic firms continued selling GPB private placements despite missing SEC filings. Violations led to fines and restitution.

Filing an Osaic Lawsuit through FINRA Arbitration

If you suffered investment losses due to broker misconduct or negligence at Osaic Wealth, you may be eligible to file a FINRA arbitration claim. Common claims include:

• Unsuitable investment recommendations
• Excessive trading
• Unauthorized transactions
• Promissory note fraud
• Supervision failures

The White Law Group has recovered millions for investors through FINRA arbitration. Call us at 888-637-5510 or visit White Law Group for a free consultation.

FAQs about Osaic Lawsuits & Complaints

What types of misconduct lead to Osaic Wealth complaints?

Common allegations include unsuitable investments, unauthorized trades, promissory note schemes, failure to disclose conflicts of interest, and lack of supervision.

Can I sue Osaic for investment losses?

Yes. Most brokerage accounts require disputes to be resolved through FINRA arbitration rather than court. If your broker acted negligently or fraudulently, you may have a valid claim.

What is the process for filing a FINRA arbitration claim?

The process involves filing a Statement of Claim, selecting an arbitration panel, discovery, hearings, and a final award. An experienced securities attorney can guide you through each step.