{"id":18252,"date":"2019-09-07T14:30:03","date_gmt":"2019-09-07T19:30:03","guid":{"rendered":"https:\/\/www.investorlawyers.com\/blog\/?p=18252"},"modified":"2019-09-16T14:31:46","modified_gmt":"2019-09-16T19:31:46","slug":"cetera-advisors-accused-of-defrauding-investors-of-10m","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/","title":{"rendered":"Cetera Advisors Accused of Defrauding Investors of $10M"},"content":{"rendered":"<p>The <a href=\"https:\/\/www.sec.gov\" target=\"_blank\" rel=\"noopener noreferrer\">US Securities and Exchange Commission (SEC) <\/a>has filed civil charges accusing <a href=\"https:\/\/www.investorlawyers.com\/blog\/?s=cetera\" target=\"_blank\" rel=\"noopener noreferrer\">Cetera Advisors <\/a>of defrauding its retail clients through $10M in unnecessary commissions and fees. The regulator is accusing the registered investment adviser (RIA) of selling these customers costlier share classes even though they qualified to invest in less expensive share classes of the same funds. The clients paid the additional compensation to the firm during the time that they held the more costly investments.<\/p>\n<p>According to the Commission\u2019s <a href=\"https:\/\/www.sec.gov\/litigation\/complaints\/2019\/comp24581.pdf\" target=\"_blank\" rel=\"noopener noreferrer\">complaint<\/a>, from at least 9\/2016 through 12\/2016, these Cetera customers were invested and held in mutual fund share classes that charged them 12b-1 fees that were recurring instead of shares that didn\u2019t charge these fees. The SEC said that aside from the fees, which was compensation paid to Cetera, the share classes were identical.<\/p>\n<p>The regulator also claims that Cetera took part in a program with its clearing firm in which the latter would share service fees and revenues it was paid from certain mutual funds with the RIA. Hence, this was incentive for Cetera to sell these mutual funds \u00a0instead of other investments to clients. Cetera purportedly received $1.7M as a result of this deal.<\/p>\n<div class=\"read_more_link\"><a href=\"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/\"  title=\"Continue Reading Cetera Advisors Accused of Defrauding Investors of $10M\" class=\"more-link\">Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The US Securities and Exchange Commission (SEC) has filed civil charges accusing Cetera Advisors of defrauding its retail clients through $10M in unnecessary commissions and fees. The regulator is accusing the registered investment adviser (RIA) of selling these customers costlier share classes even though they qualified to invest in less expensive share classes of the [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":6882,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3781,3799],"tags":[2880,3733],"class_list":["post-18252","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investment-advisers","category-mutual-funds","tag-cetera","tag-cetera-advisors"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Cetera Advisors Accused of Defrauding Investors of $10M | SSEK Law Firm<\/title>\n<meta name=\"description\" content=\"The SEC has filed civil charges accusing Cetera Advisors of defrauding its retail clients through $10M in unnecessary commissions and fees.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Cetera Advisors Accused of Defrauding Investors of $10M | SSEK Law Firm\" \/>\n<meta name=\"twitter:description\" content=\"The SEC has filed civil charges accusing Cetera Advisors of defrauding its retail clients through $10M in unnecessary commissions and fees.\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2019\/03\/SEC.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Cetera Advisors Accused of Defrauding Investors of $10M | SSEK Law Firm","description":"The SEC has filed civil charges accusing Cetera Advisors of defrauding its retail clients through $10M in unnecessary commissions and fees.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/","twitter_card":"summary_large_image","twitter_title":"Cetera Advisors Accused of Defrauding Investors of $10M | SSEK Law Firm","twitter_description":"The SEC has filed civil charges accusing Cetera Advisors of defrauding its retail clients through $10M in unnecessary commissions and fees.","twitter_image":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2019\/03\/SEC.jpg","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"Cetera Advisors Accused of Defrauding Investors of $10M","datePublished":"2019-09-07T19:30:03+00:00","dateModified":"2019-09-16T19:31:46+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/"},"wordCount":541,"image":{"@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/#primaryimage"},"thumbnailUrl":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2019\/03\/SEC.jpg","keywords":["Cetera","Cetera Advisors"],"articleSection":["Investment Advisers","Mutual Funds"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/","url":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/","name":"Cetera Advisors Accused of Defrauding Investors of $10M | SSEK Law Firm","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/#primaryimage"},"image":{"@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/#primaryimage"},"thumbnailUrl":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2019\/03\/SEC.jpg","datePublished":"2019-09-07T19:30:03+00:00","dateModified":"2019-09-16T19:31:46+00:00","author":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"description":"The SEC has filed civil charges accusing Cetera Advisors of defrauding its retail clients through $10M in unnecessary commissions and fees.","breadcrumb":{"@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/#primaryimage","url":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2019\/03\/SEC.jpg","contentUrl":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2019\/03\/SEC.jpg","width":1024,"height":440,"caption":""},{"@type":"BreadcrumbList","@id":"https:\/\/www.investorlawyers.com\/blog\/cetera-advisors-accused-of-defrauding-investors-of-10m\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.investorlawyers.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Cetera Advisors Accused of Defrauding Investors of $10M"}]},{"@type":"WebSite","@id":"https:\/\/www.investorlawyers.com\/blog\/#website","url":"https:\/\/www.investorlawyers.com\/blog\/","name":"Investor Lawyers Blog","description":"Published By Investment Fraud Attorneys \u2014 Shepherd Smith Edwards &amp; 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