Christopher John Shaw (also known as Chris Shaw), of Belmont, North Carolina, a stockbroker registered with Pruco Securities LLC, has been fined $5,000.00 and suspended from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity because Shaw engaged in unauthorized trading. Letter of Acceptance, Waiver, and Consent No. 2020067955001 (November 7, 2022).
According to the AWC, on April 23, 2020, while he was associated with Pruco Securities LLC, Shaw exercised discretion without authorization in 11 customer accounts. Specifically, Shaw did not have Pruco Securities LLC’s approval or have written authority from the customers. In fact, Pruco did not allow the use of discretion in customers’ brokerage accounts. As a result, Shaw violated FINRA Rules 2010 and 3260(b).
FINRA Public Disclosure shows that Shaw is referenced in seven customer initiated investment related disputes concerning Shaw’s conduct while associated with securities broker dealers, including Kalos Capital Inc. and Pruco Securities LLC. On November 23, 2020, a customer initiated investment related FINRA securities arbitration claim involving Shaw’s conduct was settled for $125,000.00 in damages based upon allegations that Shaw breached his fiduciary duties and made unsuitable recommendations of alternative investments when Shaw was associated with Kalos Capital Inc. FINRA Arbitration No. 19-03047.
Shaw is also referenced in a FINRA securities arbitration claim that was settled for $41,237.00 in damages based upon allegations that Shaw made misrepresentations of material fact and made unsuitable recommendations of private placements to the Kalos Capital Inc. customer. FINRA Arbitration No. 20-00661 (January 18, 2021).
On January 18, 2021, a FINRA securities arbitration claim involving Shaw’s conduct was settled for $50,000.00 in damages based upon allegations that Shaw made unsuitable recommendations of GPB Capital during the time that Shaw was associated with Pruco Securities LLC. FINRA Arbitration No. 20-04001.
Shaw is also referenced in a FINRA securities arbitration claim that was settled for $14,125.00 in damages based upon allegations that Shaw breached a contract, breached his fiduciary duties, and violated state securities laws in connection with the recommendation and sale of alternative investments. FINRA Arbitration No. 21-00656 (June 2, 2021).
On June 30, 2021, a FINRA securities arbitration claim involving Shaw’s conduct was settled for $25,000.00 in damages based upon allegations that Shaw breached a contract, breached his fiduciary duties, and was negligent in connection with the recommendation and sale of direct investments and non-traded REITs to the Kalos Capital Inc. customer. FINRA Arbitration No. 21-00807.
Shaw was associated with Kalos Management in Alpharetta, GA, as an investment advisor representative from January of 2017 to May of 2019; Pruco Securities LLC in Charlotte, NC, as a stockbroker from May of 2019 to September of 2020; and Prudential Financial Planning Services in Newark, NJ, as an investment advisor representative from May of 2019 to September of 2020. On September 2, 2020, Pruco Securities LLC discharged Shaw based upon allegations that Shaw engaged in discretionary trading and mismarked trade tickets.
Shaw has been associated with Newbridge Financial Services Group Inc. in Belmont, NC, as an investment advisor representative since January 13, 2021, and has been associated with Newbridge Securities Corporation in Belmont, NC, as a stockbroker since September 24, 2020.
