Written by The White Law Group• March 18, 2025• 5:24 pm• FINRA SEC Sanctions

Robert W. Baird & Co. Regulatory History Overview

Robert W. Baird & Co. to pay Investors for Overcharges featured by top securities fraud attorneys, the White Law Group

The White Law Group reviews the regulatory history of Robert W. Baird & Co.

Robert W. Baird and Co., (CRD#: 8158/SEC#: 801-7571,8-497) headquartered in Milwaukee, Wisconsin, has a network of over 3,500 financial advisors and registered representatives operating from 380 branch offices. The firm is dual registered as a broker dealer and investment advisor. According to its CRD, the firm has 74 disclosures on its broker record, including 43 regulatory actions and 31 arbitrations.

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A FINRA registered broker-dealer located in Milwaukee, Wisconsin, Robert W. Baird & Co. has offered brokerage and investment advisory services under the following names: Baird, The DDK Group, Robert W. Baird & Co., Incorporated, Chautauqua Capital Management, Baird Private Wealth Management, Baird Private Asset Management, Baird Institutional Equities, & Research, Baird Generational Wealth Group, Baird Equity Asset Management, Baird Advisors.

Regulation Best Interest Violations

March 6, 2025: FINRA has reportedly fined Robert W. Baird & Co. $100,000 for violating Regulation Best Interest (Reg BI) and certain FINRA rules as the successor to Hefren-Tillotson Inc.

Between June 30, 2020, and September 29, 2022, Hefren-Tillotson representatives recommended 432 customers open “portfolio review” accounts that charged unnecessary fees, costing customers $557,830.64. The firm also failed to maintain a proper supervisory system to ensure compliance with Reg BI.

As a result, Robert W. Baird & Co. was censured, fined, and required to pay full restitution. This follows a 2023 order for Baird to pay over $500,000 in restitution for excess fees. Hefren-Tillotson merged with Baird in October 2022, with Baird acquiring its retail brokerage business.

Review of Robert W. Baird & Co. Regulatory Actions

According to the firm’s CRD report, it has 74 disclosures including 43 regulatory actions and 31 arbitrations.

Regulatory actions taken against a broker-dealer may include censures, fines, suspensions and restitution, among others. They can have serious consequences for a broker-dealer’s profile and reputation. The following is a review of FINRA and the SEC’s regulatory actions involving Robert W. Baird & Co.

FINRA Sanctions Robert W. Baird & Co. for Overcharges

November 6th, 2023: According to a Letter of Acceptance, Waiver and Consent, Robert W. Baird & Co. Inc. and the Financial Industry Regulatory Authority Inc. (FINRA) have reached an agreement. As part of this settlement, Robert W. Baird will provide approximately $520,000 in restitution to affected clients due to the firm’s alleged failure over a six-year period. This failure pertained to the omission of certain sales charge waivers and fee rebates offered by mutual fund companies.

According to FINRA, from January 2015 to March 2021, Baird’s supervisory system failed to provide certain clients with mutual fund sales charge waivers and fee rebates they were entitled to receive through the rights of reinstatement offered by mutual fund companies. This alleged lapse resulted in the violation of industry rules, affecting more than 2,300 customer accounts.

Excessive Commissions

August 31st, 2022: FINRA censured and fined Robert W. Baird & Co. $150,000 and ordered the firm to pay restitution of $266,481 plus interest to investors. From June 2019 through December 2020, Baird’s published commission schedule had a minimum commission of $100 on equity transactions which resulted in an unfair commission being charged on 7,277 equity transactions. Baird also did not establish and maintain a supervisory system reasonably designed to achieve compliance with FINRA Rule 2121. As a result, Baird violated FINRA Rules 3110, 2121, and 2010.

Conflicts of Interest

June 7th, 2019: FINRA censured and fined Robert W. Baird & Co. $150,000 for reportedly after it reportedly published seven research reports about an issuer without disclosing that the research analyst who authored the reports was engaged in employment discussions with the issuer that constituted an “actual, material conflict of interest.”

Broker Misconduct and Customer Complaints

All broker-dealers have a responsibility to adequately supervise its employees. They must ensure the necessary procedures and systems to detect misconduct. There have been several cases of registered representatives employed by Robert W. Baird & Co. who were allegedly involved in broker misconduct and fraudulent activities.

Lawsuits to Recover Investment Losses

The White Law Group represents investors in FINRA lawsuits against their broker dealers. If you have suffered losses due to broker negligence or broker fraud, we can help. 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 for you 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.

Failure to Supervise

FINRA Rule 3110, also known as the “Supervision” rule, is a regulatory rule established by FINRA to ensure that member firms in the securities industry have effective systems and procedures in place to supervise the activities of their associated persons (employees, representatives, and brokers). The rule outlines the responsibilities and requirements that member firms must adhere to regarding supervision, compliance, and risk management.

Member firms are required to establish and maintain written supervisory procedures that detail how they will comply with applicable securities laws, FINRA rules, and other regulatory requirements. These procedures must cover all aspects of the firm’s business activities, including sales practices, record-keeping, and compliance.

Securities Fraud Attorneys

If you are concerned about your investments with Robert W. Baird & Co., please call The White Law Group 1-888-637-5510.

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm dedicated to helping investors in claims in all 50 states against their financial professional or brokerage firm. Since the firm launched in 2010, it has handled over 800 FINRA arbitration cases.

Our firm represents investors in all types of securities related claims, including claims involving stock fraud, broker misrepresentation, churning, unsuitable investments, selling away, and unauthorized trading, among many others.

With over 30 years of securities law experience, The White Law Group has the expertise to help investors defrauded in securities, investment and financial business transactions attempt to recover their investment losses.