TDCI Securities Division: Nearly $600,000 in Fines, Penalties Assessed in 2017

Thursday, December 14, 2017 | 12:15pm

NASHVILLE – Nearly $600,000 in fines and penalties were assessed on behalf of Tennessee consumers in 2017 as a result of disciplinary actions taken by the Tennessee of Department of Commerce & Insurance’s (TDCI) Securities division. A total of 19 disciplinary actions were taken which resulted in the issuance of $598,000 in civil penalties.  

In addition to the civil penalties, the Securities team investigated 48 consumer complaints, conducted 42 outreach events, and published 37 investor alerts, in addition to numerous press releases and social media posts dedicated to raising awareness of investment scams.

“In 2017, Tennessee consumers faced increasingly sophisticated scammers who are determined to harm the financial well-being of honest Tennesseans,” said TDCI Assistant Commissioner for Securities Frank Borger-Gilligan. “Our dedicated team again showed its commitment to helping the public by educating investors about investment fraud, requiring registration for investment professionals, requiring registration for certain securities and enforcing state statutes and rules.”

With a new year of investment opportunities around the corner, TDCI wants Tennessee investors to remember to always ask themselves some important questions before they make any investment. Remember:

  • What do I want to accomplish?
    Set specific investment goals. Be sure to include target dates and dollar amounts so you have a realistic idea of how long it will take to achieve your goals.
  • How much risk am I willing to take?
    Are you willing to risk losing some or all of your money in order to earn higher returns, or will you accept lower returns for the peace of mind of knowing your initial investment is safer? Understanding how much risk you are comfortable taking determines your “risk tolerance,” which in turn informs which types of investment products are most suitable for you.
  • What type of investment is right for me?
    Each investment comes with certain characteristics, risk levels and potential returns. Understanding your situation—risk tolerance, time horizon and specific goals—will make it easier to choose the right investment for you.                                         
  • Am I comfortable enough to do this on my own?
    How much time are you willing to spend sorting through investment choices and keeping up with the markets? How confident are you in your investment knowledge and ability to carry out your decisions? If you need some guidance, you may want to seek the services of a financial services professional. Investing, especially with significant amounts of money, can be a complicated process. Many people seek the help of one or more financial services professionals.