Trevor Bradner Rahn of Los Angeles California a stockbroker formerly registered with JP Morgan Securities LLC is referenced in a customer initiated investment related FINRA securities arbitration claim where the customer sought $1,000,000.00 in damages based on allegations of Rahn’s unsuitable stock trades while he was associated with JP Morgan Securities. Financial Industry Regulatory Authority (FINRA) Arbitration No. 21-01271 (May 19, 2021). According to the claim, between May of 2015 and September of 2018, Rahn made unauthorized trades to get commissions from the customer.
FINRA Public Disclosure shows that Rahn has been identified in five more customer initiated investment related disputes regarding accusations of his sales practice violations while employed by JP Morgan Securities. On June 13, 2018, a customer initiated investment related complaint concerning Rahn’s activities was settled for $64,590.00 in damages supported by allegations of Rahn’s unauthorized trades of closed-end funds in the customer’s JP Morgan Securities account between August of 2017 and September of 2017.
Rahn is also the subject of a customer initiated investment related complaint that was resolved for $114,000.00 in damages on February 28, 2019, founded upon accusations of unauthorized trading by Rahn at JP Morgan Securities. The complaint alleges that the customer sustained damages on a real estate investment trust, closed-end fund, and over-the-counter equity.
On October 24, 2019, another customer initiated investment related complaint regarding Rahn’s conduct was settled for $549,184.00 in damages based on allegations of unauthorized transactions, including his use of margin in the customer’s account. This allegedly resulted in losses to the customer and commissions for Rahn. The complaint also alleges that Rahn’s high rate of trading contributed to the losses.
Rahn is additionally referenced in a customer initiated investment related written complaint on April 1, 2020, in which the customer requested $125,000.00 in damages supported by accusations of Rahn soliciting their private placement purchase through a private securities transaction when Rahn was registered with JP Morgan Securities.
FINRA Public Disclosure shows that Rahn has also been fined $10,000.00 and suspended for 18 months from associating with any FINRA member in any capacity founded upon findings that he made unsuitable and unauthorized trades and had mismarked trades to make it seem like his transactions were not solicited. Letter of Acceptance Waiver and Consent No. 2018059251701 (March 19, 2021).
According to the AWC, between January of 2014 and September of 2018, customers of Rahn were advised to invest in an average pricing investment strategy. This entailed Rahn breaking up 1,106 orders into 7,500 trades. Each trade resulted in a commission that was more than the securities broker dealer allowed its stockbrokers to charge customers under its standard commission schedule. The AWC states that Rahn did not understand how the costs of these trades impacted the viability of the investment strategy. Rahn did not have an adequate basis to advise customers on this strategy.
The AWC also states that Rahn did not have discretionary trading authorization from any JP Morgan Securities customers. This meant that he was not allowed to trade without getting pre-trade confirmation from customers. Rahn’s 7,500 trades were made on a discretionary basis in violation of FINRA Rule 2010 and National Association of Securities Dealers (NASD) Rule 2510(b).
FINRA also states that from June of 2016 to September of 2017, 577 unauthorized trades were made by Rahn in violation of FINRA Rule 2010. 4,714 trades were solicited by Rahn but marked as unsolicited. Rahn violated FINRA Rules 2010 and 4511 for causing JP Morgan Securities to have false records and books regarding these trades.
Rahn was discharged by JP Morgan on September 17, 2018, based on allegations of unauthorized trading and mismarking customers’ order tickets.
