PFS Investments Inc. (“PFS Investments“) (CRD#10111) has been the subject of many complaints filed by FINRA (Financial Industry Regulatory Authority), state regulatory organizations, and investors. Between August 2019 and July 2024, PFS Investments overcharged customers entitled to fee reductions through “rights of reinstatement,” resulting in more than $710,000 in unnecessary charges to investors.
If you lost money investing with PFS Investments due to broker misconduct, fraud, or negligence, you may be able to recover your losses through FINRA arbitration. At the Law Offices of Robert Wayne Pearce, we have investigated PFS Investments, its regulatory and customer complaints, and have represented investors with claims of fraud, negligence, and breach of fiduciary duty against this organization and its financial advisors.
Don’t wait to take action. Securities claims have strict time limits, and delaying could mean losing your right to recover your investment losses. The firm has a pattern of supervisory failures and regulatory violations that may have directly affected your investments.
Can I Sue PFS Investments?
You can sue PFS Investments if you lost money due to misconduct or negligence by the firm or its brokers, but most investors are required to pursue claims through FINRA arbitration instead of court. Most brokerage agreements include mandatory arbitration clauses, which means your case will be heard before a panel of arbitrators rather than a judge and jury.
How to Sue PFS Investments for Investment Losses
Recovering investment losses from PFS Investments requires navigating the FINRA arbitration process. This is a legal proceeding specifically designed for securities disputes between investors and brokerage firms. Understanding how this process works is essential to successfully recovering your losses.
What Can I Do If I Lost Money at PFS Investments?
If you lost money at PFS Investments, you can file a FINRA arbitration claim to recover your losses. FINRA arbitration is a formal dispute resolution process where your case is heard by neutral arbitrators who review evidence, hear testimony, and make binding decisions about your claim.
The violations and regulatory problems documented on this page—including supervisory failures, overcharging customers, employing brokers with misconduct histories, and repeated FINRA sanctions—may have directly contributed to your investment losses. These systemic failures create legal grounds for pursuing claims based on negligence, breach of fiduciary duty, unsuitable recommendations, or fraud.
Even if you signed an arbitration agreement when opening your account, you still have the right to pursue your claim. The arbitration clause simply determines where your case will be heard (in arbitration rather than court), but it does not eliminate your right to seek compensation for losses caused by broker or firm misconduct.
The Law Offices of Robert Wayne Pearce has extensive experience handling FINRA arbitration cases against firms like PFS Investments. We understand the specific violations this firm has committed, how their supervisory failures create liability, and how to build compelling cases that connect documented regulatory problems to individual investor losses.
Who Can Help Me Sue PFS Investments?
An experienced securities arbitration attorney can help you sue PFS Investments and navigate the complex FINRA process. The Law Offices of Robert Wayne Pearce specializes in representing investors who have been harmed by brokerage firm misconduct, and we have specific knowledge of PFS Investments’ regulatory history and the types of violations that commonly occur at this firm.
Our firm handles all aspects of the arbitration process: filing your Statement of Claim, gathering evidence, deposing witnesses, presenting your case to the arbitration panel, and fighting for maximum recovery. We work on a contingency basis, which means you don’t pay attorney fees unless we recover money for you.
What is PFS Investments?
PFS Investments (CRD#10111) 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, PFS Investments 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.
PFS Investments In Trouble – Latest News
Yes, PFS Investments Inc. is experiencing ongoing regulatory and legal troubles. Most recently, in 2025, FINRA found PFS had no automated system to identify missed benefits for customers entitled to cost reductions through “rights of reinstatement.” This systemic failure resulted in customers paying more than $710,000 in unnecessary charges between August 2019 and July 2024.
On July 12, 2024, PFS Investments entered into an Acceptance, Waiver, and Consent agreement (AWC) to settle allegations that the firm failed to establish a supervisory system. The firm has also been dealing with multiple customer complaints, including a pending customer complaint with a damage request of $1,400,000.00 filed on August 30, 2023.
Why Does PFS Investments Have So Many Bad Reviews and Customer Complaints?
PFS Investments has accumulated numerous customer complaints and regulatory problems because of its business structure. As an independent broker-dealer, the firm operates differently than traditional brokerage firms, and these structural differences create gaps in oversight that leave investors vulnerable.
Independent broker-dealers like PFS Investments typically open many small offices nationwide to generate steady revenue without the costs of full-service branch offices. The financial advisors at these offices are not employees of the broker-dealer—they operate as separate businesses. This means they are not controlled or monitored in the same way as advisors at traditional firms.
The supervisors who are supposed to watch over these advisors often work from remote locations and run their own businesses. They are not full-time supervisors focused solely on compliance. This remote supervision structure means there is typically no immediate review of new accounts, securities transactions, or client communications. Problems like unsuitable investments, forged signatures, or misleading statements to clients can go undetected for long periods.
The North American Securities Administrators Association (NASAA) has documented more instances of sales abuse and investor losses at independent broker-dealers than at traditional brokerage firms with on-site managers. This structural weakness explains why PFS Investments has such a long history of regulatory violations and customer complaints.
Examples of Regulatory Problems and Complaints for PFS Investments
PFS Investments’ rapid growth has not been without consequences. There have been approximately 20 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 customer complaints filed against PFS 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 for many years. PFS Investments is a repeat offender: there are over 20 FINRA-reported proceedings citing the firm with one form of supervisory lapses or another.
A Brief Overview of Some of the Complaints and Regulatory Problems PFS Investments Has Faced Over the Years
PFS Investments has been repeatedly censured, warned, and fined for its own misconduct and failure to supervise its army of financial advisors. A few of the notable FINRA Sanctions for its Supervisory Failures are below:
Maine Office of Securities Fines PFS Investments for Failure to Comply with An Order on Inspections of Branch Offices in Maine
Brief Overview: The Maine Office of Securities initiated an investigation into PFS Investments that revealed the firm failed to comply with an order regarding the resumption of on-site broker-dealer inspections of branch offices in Maine. The Office of Securities issued a consent agreement to the firm, which PFS Investments signed. The firm also paid a civil fine to the Maine Office of Securities.
Massachusetts Securities Division Censures and Fines PFS Investments for Unregistered Supervisors Overseeing Transactions in Massachusetts
Brief Overview: The Massachusetts Securities Division initiated an investigation into PFS Investments and alleged that the firm allowed branch managers, who were at offices located outside of Massachusetts, were not themselves registered in Massachusetts to supervise PFS Investments agents transacting securities business with Massachusetts residents in violation of the Massachusetts Securities Act. The firm consented to the entry of an order and agreed to undertake and correct deficiencies. As a result, the firm was censured and fined $75,000.
FINRA Censures and Fines PFS Investments for Supervisory Failures Concerning Customer Account Information
Brief Overview: Without admitting or denying the findings, PFS Investments consented to the described sanctions and to the entry of FINRA findings that the firm 1) did not provide certain clients with copies of their account information within 30 days after the account being opened and every 36 months thereafter and 2) that the firm’s investor profile questionnaire form had deficiencies as to certain firm customers who made short-term investments in mutual funds. FINRA also alleged that the firm’s supervisory system and written supervisory procedures failed to detect the deficiencies. The Firm ultimately entered into an agreement with FINRA on those matters. As a result, the firm was censured and fined $100,000.
FINRA Censures and Fines PFS Investments for Failure to Retain Documents Pertinent to Account Application Packages
Brief Overview: Without admitting or denying the allegations, PFS Investments consented to sanctions and entry of FINRA findings that the firm failed to retain copies of a pre-printed form receipt contained in its standard account application package as required by SEC rules. The firm agreed to undertake and correct deficiencies and agreed that the firm’s compliance director will certify to FINRA staff that deficiencies have been corrected. As a result, the firm was censured and fined.
NASD Censures and Fines PFS Investments for Failure to Timely Amend Forms U4 and U5
Brief Overview: The NASD initiated an investigation into PFS Investments that revealed that the firm failed to file in a timely manner certain amendments to Forms U4 and U5 as required by the NASD. FINRA said the firm’s supervisory system and procedures were not reasonably designed to achieve compliance with its reporting obligations. The firm agreed to conduct a series of internal audits to evaluate the effectiveness of its system for ensuring the timely filing of amendments to the forms. As a result, the firm was censured and fined $450,000.
How to File an Official Complaint Against PFS Investments Advisor or One of Its Brokers with FINRA
File an official complaint against a PFS Investments advisor or broker by initiating a FINRA arbitration. At The Law Offices of Robert Wayne Pearce, we help investors recover losses caused by misconduct, fraud, or supervisory failures at PFS Investments.
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 PFS Investments without representation with an attorney about their complaints and have their complaints denied.
Related Read: Can You Sue Your Brokerage Firm?
How The Law Offices of Robert Wayne Pearce, P.A. Can Help You Recover Losses at PFS Investments
The Law Offices of Robert Wayne Pearce guides investors through every step of the FINRA arbitration process. We begin with a thorough investigation of your losses, gathering account statements, trade confirmations, correspondence with your broker, and other evidence that documents how PFS Investments’ misconduct caused your financial harm.
Our firm then prepares and files your Statement of Claim with FINRA, which initiates the arbitration proceeding. Throughout the process, we handle all legal filings, conduct discovery to obtain additional evidence from the firm, prepare witnesses, and present your case before the arbitration panel. With over 45 years of experience in FINRA arbitration and a track record that includes recovering more than $175 million for investors, Attorney Robert Wayne Pearce knows exactly how to build compelling cases against firms like PFS Investments.
We offer free consultations to evaluate your potential claim. During this consultation, we review the circumstances of your losses, explain your legal options, and provide an honest assessment of your case’s strengths.
Did PFS Investments Advisor Misconduct Cause You Investment Losses
- PFS Investments has accumulated approximately 20 regulatory disclosure events from state and federal securities agencies. There have been approximately 20 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).
- The firm’s supervisory failures have been a recurring issue. PFS Investments has been repeatedly censured, warned, and fined for its own misconduct and failure to supervise its army of financial advisors. Recent state-level actions include Massachusetts fining the firm $75,000 in 2019 for unregistered employees and supervisors.
- Customer complaints continue mounting against individual brokers. The firm employs brokers with misconduct histories, and PFS Investments works with brokers who have misconduct allegations on their records. Multiple brokers have been barred by FINRA for various violations, including refusing to cooperate with investigations and allegedly converting client funds.
Consult With An Attorney Who Recovers Investment Losses Caused By PFS Investments 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 PFS Investments cases, and Attorney Pearce is committed to seeing that those responsible for the losses you have suffered are held fully accountable.
Don’t let a deceptive advisor ruin your financial future. The Law Offices of Robert Wayne Pearce can help throughout the U.S., including Georgia, Florida, and Texas.
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.
