Kevin Wolf (CRD#: 1067376), a registered representative with Wells Fargo Clearing Services, LLC of Naples, Florida, became involved in a pending customer dispute on July 10, 2019 in which a client alleges that he “made an unsuitable purchase of a life insurance policy,” according to his BrokerCheck report accessed on August 22, 2019. The client is seeking an unspecified amount of damages.
This is not the only disclosure on Kevin Wolf’s BrokerCheck report; he has been the subject of five other complaints, which have settled. On January 2, 2015, a client alleged that the investment strategy that her broker recommended was unsuitable given her risk tolerance and age. The firm where Kevin Wolf was working at the time settled the matter for $25,000. The broker comment reads in part, “The client had a long term relationship with A G Edwards and then Wells Fargo Advisors. She inherited a concentrated position which represented between 25-50% of her account value and was very attached to the stock. In an effort to meet her income and diversification needs we use an outside investment manager to potentially increase her income and hedge the concentrated position. While her position was managed by the outside manager her account value grew by approximately 40%.”
According to BrokerCheck, on October 21, 1993, a client “submitted claim form(s) to the claims resolution process relating to limited partnership purchase(s) during the period 10/85-10/88. … no damages are alleged, [but] the amount(s) of actual loss (out-of-pocket) is/are approx. $17,259.” The matter was settled for $16,022. according to the broker comment, “settlements with the above client(s) has/have been reached in the claims resolution process. the dollar amount(s) of the settlement(s) is/are approx. $16,022. This matter resulted from the unprecedented, unsolicited mailing of claim forms by PSI to over 340,000 investors who purchased limited partnerships through PSI form [sic] January 1,19891 [sic]. The above refernced [sic] client(s) submitted claim form(s) in response to this mailing. The claim form(s) was/were evaluated by PSI in accordance with the standards established under the settlements between PSI and the SEC, the NASD and the state securities administrators. The reported settlement(s) arose out of this unique process.”
On May 1, 1992, a customer alleged “excessive and unsuitable trading in mutual funds and options and unsuitable limited partnership recommendations.” The client sought unspecified damages, but they were believed to be more than $10,000. Prudential Securities eventually settled for $14,946,932 “as part of a global settlement entered into by Prudential Securities regarding sales of its limited partnerships. No contribution from F.A. was sought,” according to the broker comment on BrokerCheck.
On January 6, 1992, a customer alleged “misrepresentation and unsuitability in sale of limited partnerships with alleged damages of $40,000.” Ultimately, Prudential Securities settled the matter for $15,200.17.
On August 22, 1991, clients alleged that Kevin Wolf recommended unsuitable limited partnership purchases. The broker comment section reads, “After the customers initiated an arbitration with the American Arbitration Association in which they only alleged claims against Prudential Securities, and not against Mr. Wolf, Prudential Securities agreed to pay the customers $50,000.00. The registered representative was not asked to contribute towards the settlement.”
Many of Kevin Wolf’s investment recommendations involve purchases of limited partnerships. A limited partnership exists when two or more individuals partner to conduct a business venture. Limited partners are partial owners of a company and can only be held liable up to the amount that they invested. A limited partnership unit is a publicly-traded share representing one unit in an LP; holders of such shares have a stake in the LP.
A 36-year veteran of the securities industry, Kevin Wolf has also worked for Prudential Securities Incorporated (CRD#: 7471) in New York, New York.
If you’ve done business with Kevin Wolf or have questions about limited partnership units, don’t hesitate to contact Marc Fitapelli and Jonathan Kurta, securities attorneys. Call (877) 238-4175 or email firstname.lastname@example.org.