Hightower Securities, LLC (“Hightower Securities“) (CRD#116681) has been the subject of complaints filed by FINRA (Financial Industry Regulatory Authority), state regulatory organizations, and investors. The firm has faced regulatory sanctions for supervisory failures and failure to disclose material information to investors. At the Law Offices of Robert Wayne Pearce, we have investigated Hightower Securities, its regulatory and customer complaints, and have also represented investors with claims of fraud, negligence, and breach of fiduciary duty against this organization and its financial advisors.
If you lost money at Hightower Securities due to broker misconduct or unsuitable investments, you have legal options. Even if you signed an arbitration agreement when opening your account, you can still pursue claims against the firm and recover your losses through FINRA arbitration. This is the same legal process that has helped thousands of investors hold negligent brokers and firms accountable.
The Law Offices of Robert Wayne Pearce, P.A., offers free consultations to evaluate your potential claim. Time limits apply to filing investment fraud claims, so acting quickly protects your rights. Our firm has extensive experience handling cases against Hightower Securities and similar independent broker-dealers with documented supervisory failures.
Can I Sue Hightower Securities?
Yes, you can sue Hightower Securities if you’ve lost money caused by the firm’s or its employees’ misconduct, but the odds are you signed away your right to sue in court and agreed to resolve your dispute in a FINRA arbitration proceeding. FINRA arbitration is a binding legal process where investors present their claims before a panel of arbitrators rather than a judge and jury. Attorney Robert Wayne Pearce has extensive personal experience in FINRA arbitration proceedings and knows how you can not only sue Hightower Securities in FINRA arbitration but WIN that arbitration.
How to Sue Hightower Securities for Investment Losses
What Can I Do If I Lost Money at Hightower Securities?
If you lost money at Hightower Securities, your first step is understanding that you have enforceable legal rights even if you signed an arbitration agreement. FINRA arbitration allows investors to present claims of fraud, negligence, breach of fiduciary duty, unsuitable investments, and failure to supervise before a neutral arbitration panel. This process is specifically designed to resolve disputes between investors and brokerage firms.
The documented regulatory problems at Hightower Securities—including the firm’s $100,000 FINRA fine for failing to disclose material information to investors—demonstrate a pattern of supervisory failures that may have directly impacted your account. When a firm fails to supervise its brokers adequately, investors often suffer losses from unsuitable investment recommendations, misrepresentations, or outright fraud. These are precisely the types of claims that succeed in FINRA arbitration.
Building a successful case requires gathering documentation: account statements, trade confirmations, correspondence with your broker, and any marketing materials you received. An experienced securities attorney can analyze these records to identify violations of industry rules and regulations. The attorney will then file a Statement of Claim with FINRA, outlining the specific misconduct and damages, and represent you throughout the arbitration hearing.
Who Can Help Me Sue Hightower Securities?
You need a securities attorney who specializes in FINRA arbitration and has a proven track record against firms like Hightower Securities. The Law Offices of Robert Wayne Pearce, P.A., focuses exclusively on investment fraud cases and has successfully represented numerous clients in claims against independent broker-dealers with supervisory failures similar to those documented at Hightower Securities. Our firm understands how these firms operate, where their compliance weaknesses typically occur, and how to prove that broker misconduct caused your losses.
What is Hightower Securities?
Hightower Securities (CRD#116681) is a registered broker-dealer. It operates as a full-service independent broker-dealer, providing a range of financial products and services to individual investors and financial advisors.
As a registered broker-dealer, Hightower Securities is subject to regulations and oversight by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). It is required to comply with industry standards and regulations to ensure the protection of its clients’ interests.
A failure to comply with industry standards by either its brokers or the firm itself can result in disciplinary actions, fines, or other penalties imposed by regulatory authorities.
Why Does Hightower Securities Have So Many Bad Reviews and Customer Complaints?
Independent broker-dealers like Hightower Securities often struggle with customer complaints because their business model prioritizes growth over day-to-day supervision. Unlike traditional brokerage firms with managers physically present in branch offices, independent broker-dealers operate through a franchise-style system where financial advisors run separate businesses under the firm’s umbrella.
These advisors are independent contractors, not employees, which means they control their own operations with minimal oversight. The firm assigns supervisors at remote Offices of Supervisory Jurisdiction (OSJs) to monitor multiple branch offices from a distance. However, these OSJ managers typically run their own separate businesses and cannot provide full-time, hands-on supervision of the advisors they’re supposed to oversee.
This creates dangerous gaps in protection for investors. There’s no immediate review when new accounts are opened, when securities are purchased, or when advisors communicate with clients. Warning signs of fraud—like forged signatures, inaccurate client financial information, or misleading sales materials—can go undetected for months because no one is physically present to catch them. Many of these firms conduct only one compliance audit per year at each office, leaving investors vulnerable to ongoing misconduct.
The North American Securities Administrators Association (NASAA) has documented significantly more instances of sales abuse and investor losses at independent broker-dealers compared to traditional firms with on-site supervision. This pattern of inadequate supervision directly contributes to the volume of customer complaints against firms like Hightower Securities.
Hightower Securities Has Many Different Regulatory Problems
Hightower Securities’ rapid growth has not been without consequences. There is one state and self-regulatory body disclosure event; that is, a final and formal proceeding initiated by a regulatory authority (e.g., a state or federal securities agency like the U.S. Securities and Exchange Commission (SEC) or self-regulatory body like the Financial Industry Regulatory Authority (FINRA) and the North American Securities Administrators Association (NASAA) for a violation(s) of investment-related rules or regulations. In addition, there have been complaints filed against Hightower Securities for misconduct by its securities sales and investment advisory representatives that are not reported by the firm on its Central Depository Record.
We have reported and written about regulatory problems and customer complaints over many years. Hightower Securities is a repeat offender: there are 2 FINRA-reported proceedings citing the firm with one form of supervisory lapses or another.
A Brief Overview of Some of the Regulatory Problems Hightower Securities Has Faced Over the Years
Hightower Securities has been repeatedly censured, warned, and fined for its own misconduct and failure to supervise its army of financial advisors. * A notable FINRA Sanctions for its Supervisory Failures are below:
FINRA Censured and Fines Hightower Securities for Sales of Limited Partnership Interests
Brief Overview: Without admitting or denying the findings, Hightower Securities consented to the sanctions and to the entry of FINRA findings that it negligently failed to tell investors in an offering that the issuer failed to timely make required filings with the SEC, including filing audited financial statements. FINRA stated that while the firm received letters from the issuer notifying it of the delays and its stated intention to complete a forensic audit, the firm still sold limited partnership interests in a company after that announcement. The sales totaled $1,670,000 and the firm received a total of $133,600 in commissions from the sales. However, in connection with these sales the firm did not inform the customers that the company had not timely filed its financials with the SEC or the reasons for the delay, which was material information that should have been disclosed. As a result, the firm was censured and fined $100,000.
Did Hightower Securities Advisor Misconduct Cause You Investment Losses?
When financial advisor misconduct has caused you to lose substantial value to your investment accounts, you have the right to seek reimbursement from the responsible parties. Hightower Securities is responsible like any employer for its financial advisors acts and omissions. In addition, it has an independent duty to supervise its stockbrokers and investment advisors. These cases can be extremely complex, and so having the support of a reputable attorney who is experienced in recovering investment losses for investors is key to your success. Many customers make the mistake of contacting Hightower Securities without representation with an attorney about their complaints and have their complaints denied.
Consult With An Attorney Who Recovers Investment Losses Caused By Hightower Securities Today
The investment loss attorneys at The Law Offices of Robert Wayne Pearce, P.A., have helped countless investors over the last 45 years recover the losses from their investment accounts that were caused by broker negligence or misconduct. The firm has extensive experience with Hightower Securities cases, and Attorney Pearce is committed to seeing that those responsible for the losses you have suffered are held fully accountable.
The Law Offices of Robert Wayne Pearce is committed to protecting your rights against fraudulent brokerages. We serve the entire country, including Illinois, Georgia, and Texas.
Give us a call at 800-732-2889. Don’t let a deceptive advisor ruin your financial future. The Law Offices of Robert Wayne Pearce can help throughout the U.S., including South Carolina, Florida, and Texas.
