Dustin Allen Smith, of Naples, Florida, a stockbroker formerly registered with RBC Capital Markets is the subject of a customer initiated, investment related FINRA securities arbitration claim seeking $2 million in damages. FINRA Arbitration No. 25-02627 (December 2, 2025). According to FINRA Public Disclosure, the investor alleges that Smith “invested the entirety of [the investor’s] retirement assets in illiquid structured notes.” In January 2025, Smith left RBC Capital Markets and became associated with Citizens Securities, Inc.
“Structured notes” are “complex,” often high risk, investment products.” According to FINRA, “structured notes” or “structured products” are securities derived from or based on a single security, a basket of securities, an index, a commodity, a debt issuance and/or a foreign currency. Most structured products pay an interest or coupon rate substantially above the prevailing market rate. However, structured products also frequently cap or limit the upside participation in the referenced or “Linked” security or basket of securities, but if the underlying “Linked” securities decline in value, the Note may be redeemed or called by the Issuer at a predetermined rate, or often a fraction of the Note’s offering price, which can result in the substantial loss of principal. Notice to Members 05-09 (“despite the derivative component of a structured product, they are often marketed to investors as debt securities.”); See also, Staff Summary Report on Issues Identified in Examinations of Certain Structured Securities Products, U.S. Securities & Exchange Commission (July 27, 2011)(“Structured Security Products are often quite complex and can present wide-ranging risks and regulatory issues, including suitability and disclosure concerns, limited liquidity, comparatively opaque and often expensive fee structures, and difficulty in pricing. They also pose supervisory, compliance and sales training challenges.”).
Investors suffering losses as the result of the recommendation and sale of structured notes should consult with a lawyer to determine their rights and obligations.
The Guiliano Law Group, P.C.
For more than thirty years, our practice is limited to the representation of investors. We accept representation on a contingent fee basis, meaning there is no cost to you unless we make a recovery for you. There is never any charge for a consultation or a confidential evaluation of your claim. For more information, contact us at (877) SEC-ATTY.
If you believe that you have been the victim of misconduct or fraud, contact us for a free consultation. We handle all cases on a contingency fee basis meaning that there is no cost or obligation, unless we are able to make a recovery for you.
