Harbour Investments, Inc. (“Harbour Investments”) (CRD# 19258) has many different complaints filed by the SEC and FINRA (Financial Industry Regulatory Authority), state regulatory organizations, and investors such as yourself. If you’ve suffered investment losses at Harbour Investments due to broker misconduct, fraud, or unsuitable investment recommendations, you have legal options to recover your losses.
At the Law Offices of Robert Wayne Pearce, we have investigated Harbour Investments, 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. Most investors who signed account agreements with Harbour Investments agreed to resolve disputes through FINRA arbitration rather than court — but this doesn’t prevent you from pursuing your claim.
If you believe you have a claim against Harbour Investments, you should strongly consider hiring a securities fraud lawyer. You should not wait until it’s too late to file a claim. The Law Offices of Robert Wayne Pearce, P.A., offers free consultations. Let’s discuss your case and see what we can do to help you get the compensation you need and deserve.
Can I Sue Harbour Investments, Inc.?
Yes, you can sue Harbour Investments, but the odds are you signed away your right to sue in court and agreed to resolve your dispute in a FINRA arbitration proceeding. If you’ve lost money caused by Harbour Investments and/or its employees’ misconduct, FINRA arbitration is the legal forum where most investors will pursue their claims. Attorney Robert Wayne Pearce has extensive experience in FINRA arbitration proceedings and knows very well how you can not only sue Harbour Investments in FINRA arbitration proceedings, but WIN that arbitration.
How to Sue Harbour Investments for Investment Losses
What Can I Do If I Lost Money at Harbour Investments?
If you lost money at Harbour Investments, you can file a claim through FINRA arbitration to recover your losses. FINRA arbitration is a legal process similar to court, but specifically designed for investment disputes. Most brokerage agreements include arbitration clauses, which means you’ll resolve your case before a panel of arbitrators rather than a judge and jury.
The documented regulatory problems at Harbour Investments — including SEC sanctions for mutual fund sales practices, failure to disclose conflicts of interest, and placing clients in higher-cost share classes — suggest a pattern of conduct that may have affected your investments. These violations demonstrate that Harbour Investments failed to act in clients’ best interests, prioritizing its own profits through 12b-1 fees and marketing agreements over proper investment advice.
The independent broker-dealer business model that Harbour Investments uses creates inherent supervisory gaps. With over 160 branch offices supervised remotely and registered representatives operating as separate businesses, day-to-day oversight is often lacking. This structure has resulted in regulatory violations and customer losses across the industry, making it easier for unsuitable investments, excessive trading, or fraud to go undetected.
Even if you signed an arbitration agreement, you can still pursue compensation for your losses. The arbitration process allows you to present evidence, call witnesses, and hold Harbour Investments accountable. The firm has a duty to supervise its advisors and can be held liable for their misconduct.
Who Can Help Me Sue Harbour Investments?
An experienced securities arbitration attorney can help you navigate the FINRA arbitration process and build a strong case. The Law Offices of Robert Wayne Pearce specializes in representing investors who have suffered losses due to broker misconduct at firms like Harbour Investments. We understand the specific regulatory violations this firm has committed and how to connect those violations to investor harm.
Our firm has handled hundreds of FINRA arbitration cases involving independent broker-dealers with supervisory failures similar to Harbour Investments. We know how to prove that inadequate supervision, conflicts of interest, and unsuitable investment recommendations caused your losses. Contact us for a free consultation to evaluate your case.
What is Harbour Investments, Inc.?
Harbour Investments (CRD# 19258) has been registered with the SEC and FINRA as a broker dealer since 1987 the company is controlled by the brokerage firms management team and headquartered in Madison, Wisconsin with small branch offices located throughout the United States. Its independent broker-dealer Business Model has grown through acquisition and organic development of primarily one and two person registered representative offices supervised remotely. Today there are over 160 Harbour Investments branch offices with over 220 registered representatives in every state. It is now one of the 50 largest independent broker-dealer and investment advisory firms in the United States.
Why Does Harbour Investments Have So Many Bad Reviews and Customer Complaints?
Independent broker-dealers like Harbour Investments often struggle with supervision because of how they’re structured. Instead of having branch managers physically present in each office, these firms use a franchise-like model. Financial advisors work as independent contractors in small offices — sometimes just one or two people — and are supervised remotely by managers who may be states away.
This remote supervision creates serious gaps in oversight. There’s no one onsite to review new customer accounts, check whether investments are suitable, or catch warning signs of misconduct. The supervisors themselves are often independent contractors running their own businesses, not full-time compliance officers focused solely on protecting investors.
Without daily oversight, problems go undetected. Advisors can forge signatures, misrepresent products, or place clients in unsuitable investments without immediate review. Many of these offices only get compliance audits once per year — leaving plenty of time for harm to occur.
The North American Securities Administrators Association (NASAA) has documented that independent broker-dealers have more instances of sales abuse and investor losses than traditional firms with onsite managers. This structure prioritizes cost savings and profit over investor protection.
Harbour Investments, Inc. Has Many Different Regulatory Problems
Harbour Investments’ growth has not been without consequences. There are at least 3 known Federal, state and self-regulatory body disclosure events; that is, final and formal proceedings 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 scores of customer complaints filed against Harbour Investments 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 these regulatory problems and customer complaints over many years. Harbour Investments is a repeat offender: there are at least 2 SEC and FINRA reported disciplinary proceedings citing the firm with one form of supervisory lapses.
A BRIEF OVERVIEW OF SOME OF THE REGULATORY PROBLEMS HARBOUR INVESTMENTS HAS FACED OVER THE YEARS
Harbour Investments has been repeatedly censured, warned, and fined for its own misconduct and failure to supervise its army of financial advisors. An example of one SEC disciplinary proceeding follows:
SEC Sanctions Harbour Investments For Mutual Fund Sales Practices
The SEC launched an investigation and determined that during the relevant period Harbour Investments failed to fully and fairly disclose to its advisory clients compensation it received under a marketing services agreement with a third-party broker-dealer that provided custody and clearing services to Harbour Investments and the conflicts of interest arising from that compensation. This arrangement created incentives for Harbour Investments to favor one broker-dealer over others when giving investment advice to its advisory clients about where to custody assets. During the same period, the SEC discovered Harbour Investments placed some of its advisory clients in mutual fund share classes with 12b-1 fees when lower cost share classes of the same fund were available. In its capacity as a broker-dealer, Harbour Investments received 12b-1 fees from some investments in these share classes, which created a conflict of interest that Harbour Investments did not fully and fairly disclose to its advisory clients. Investing in a more expensive share class over a less expensive one in the same fund was also inconsistent with Harbour Investments’ duty to seek best execution for its advisory clients. Finally, the SEC found Harbour Investments did not implement certain of its policies and procedures designed to manage the above conflicts. Based on the conduct above, the SEC determined that Harbour Investments violated Sections 206(2), 206(4) and 207 of the Advisers Act and Rule 206(4)-7 thereunder, and ordered it to cease-and-desist from further violations, censured the broker-dealer, boarded it to pay disgorgement with prejudgment interest and a civil monetary penalty for just under $250,000.
*Above is only one of the regulatory disciplinary actions filed against Harbour Investments by FINRA. There are at least 2 more SEC, FINRA, NASSA, and/or state securities regulator investigations and enforcement actions reported on BrokerCheck as regulatory disciplinary proceeding disclosures.
Did Harbour Investments, Inc. 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. Harbour Investments 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 Harbour Investments without representation with an attorney about their complaints and have their complaints denied.
Consult With An Attorney Who Recovers Investment Losses Caused By Harbour Investments, Inc. Today
The securities 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 Harbour Investments cases, and Attorney Pearce is committed to seeing that those responsible for the losses you have suffered are held fully accountable.
Give us a call at 800-732-2889. Let’s discuss your case and see what we can do to help you get the compensation you need and deserve.
