Financial advisor Phillip Attebery, aka Phillip Attebery of Redmond, Oregon has recently become a cause for concern among investors. According to the SEC’s Investment Adviser Public Disclosure, losses have allegedly been incurred following Attebery’s conduct. Over his tenure at Creative Planning since June 2016, few complaints surfaced that have muddled the Sterling reputation of the financial firm.
Adviser’s Alleged Negligence Unveils Losses for Client
Investors rely upon their advisors to make informed decisions that will generate revenues and provide them with financial growth. In a shocking revelation imploding on the 15th of September 2023, a client at Creative Planning filed Civil Action No. BER-L-004545-23 against Phillip Attebery. The lawsuit alleged negligence and breach of fiduciary duty on Attebery’s part in relation to options transactions from 2017 to 2020, leading to significant financial damage involving options.
The investor sought an extensive $9,500,000 in compensation from Creative Planning or Attebery. In a surprising turn of events, however, this civil suit was later withdrawn.
Is Phillip Attebery Repeatedly Breaching Fiduciary Duties?
In a compelling development, on July 2, 2021, another Creative Planning client contested Phillip Attebery’s conduct. Through an arbitration claim initiated by the American Arbitration Association (AAA), the client accused Attebery of not only negligence and breach of fiduciary duty, but also violations of California and Kansas laws.
The allegations tied back to events that occurred from 2015 to 2017, related to the sale of conservation easements. The client claimed that this led to substantial financial damages, thus seeking a being a substantial $5,185,000 compensation from Creative Planning or Attebery. This CRD: 4247195 number points directly to Attebery’s public disclosure page.
The matter is currently still in the courts. However, Attebery has vehemently denied the claims, maintaining that risks associated with the transactions were fully disclosed to the clients. Reactions are mixed, as such financial scandals often shake up investor confidence, with the possibility of wide-scale implications for the financial advising community on a whole.
FINRA Violations – Why Do They Matter?
The Financial Industry Regulatory Authority (FINRA) serves to protect U.S. investors by ensuring the integrity of the financial advisory sector. Therefore, violations of FINRA’s regulations, such as breach of fiduciary duty and negligence, can adversely impact a client’s financial standing, shaking their confidence in the financial system. Although we should stress that allegations are not synonymous with guilt, they harbour the potential to damage the reputation of firms and advisors alike substantially.
Achieving financial growth requires trustful relationships between investors and advisors. When this bond is fragile, the financial system’s sanctity takes a hit. Such instances serve as harsh reminders of the due diligence investors must exercise when choosing financial advisory partners. Presently, while Attebery and Creative Planning deny all allegations, truth remains cloaked in ambiguity — only time will uncloak it.