CUSO Financial Services (CFS) is a broker-dealer and investment advisory firm that partners with credit unions and other financial institutions to provide members with financial planning, investment, and wealth management services. The company offers resources, tools, and support to financial advisors to guide clients through every stage of their investing journey.Â
If you experienced investment losses exceeding $100,000 as a result of negligence or misconduct by CUSO Financial Services, our experienced securities and investment fraud lawyers will assess your brokerage firm investment loss claim. Since 1999, our legal team has successfully recovered more than $350 million for our clients.
About CUSO Financial Services
CUSO Financial Services (CFS) is a broker–dealer that specializes in helping credit unions, banks, and their financial professionals develop and manage customized investment programs.
Founded in 1996 by Valorie Seyfert and Amy Beattie, the companies gained recognition for their innovative technology, comprehensive support, and commitment to serving the financial needs of institutions and their clients.
In 2017, CFS and SPF partnered with Atria Wealth Solutions to enhance their services and stay ahead of industry changes. This partnership has driven advancements such as integrated technology, client portals, remote tools, and compliant communication solutions.
Today, CFS and SPF manage over 200 investment programs with more than $40 billion in assets, offering efficient and scalable tools to strengthen client relationships and give financial institutions a competitive edge.
Regulatory Oversight
CUSO Financial Services has been dually registered with the Securities and Exchange Commission (SEC) as an investment advisor and broker-dealer since 2001. The SEC upholds federal securities laws and supervises the securities industry to ensure that markets operate fairly and efficiently.
Non-deposit investment products and services, such as stocks, bonds, mutual funds, and other securities, are provided through CUSO Financial Services, LP (CFS) or Sorrento Pacific Financial, LLC (SPF). Both are registered broker-dealers and members of FINRA (Financial Industry Regulatory Authority).
This two-tiered oversight guarantees that CFS maintains the highest levels of accountability and transparency in its practices. If you believe your losses resulted from your advisor’s misconduct, an investment fraud lawyer can review your case.
Claims of Misconduct and Fraud Against CUSO Financial Services
Claims of financial negligence and misconduct against CFS include unsuitable UIT sales. Regulatory authorities have investigated these claims and taken action against the firm.
FINRA’s BrokerCheck Report lists 3 disclosures for CUSO Financial Services, all of which are regulatory events. The sooner you contact an investment fraud lawyer from Meyer Wilson, the more time we can spend working on your case.
Unsuitable UIT Sales
FINRA fined CUSO Financial Services $172.5k for unsuitable unit investment trust (UIT) sales made by registered representative Mathew Hartshorn. The sales involved 76 UIT transactions worth $4.6 million, which were considered unsuitable for customers with low-risk preferences.
Additionally, CUSO’s principal, Richard Michael Gholson, was cited for insufficient supervision of these sales at the firm’s Tacoma, Washington branch.
Data Breach
There is an ongoing investigation of data privacy violations by CUSO Financial Services. The company discovered suspicious activity in January 2024.
The breach involved a third-party vendor handling FINRA-related communications, potentially exposing personal information such as names and identifiers. Over 75,000 individuals may have been affected.
You Have Options to Recover Your Investment Losses
If a financial advisor’s negligence or misconduct causes significant losses to your investments, you can recover them. A securities fraud lawyer can collect evidence to prove what happened and help you seek compensation through FINRA arbitration.
The FINRA Arbitration Process
FINRA arbitration helps investors settle disputes with firms like CFS over claims of investment misconduct. The process starts with filing a claim outlining the issues. Both sides then choose arbitrators who review the evidence and listen to testimony. Arbitration decisions are binding.
While faster than going to court, it still requires careful preparation and solid documentation. Working with a lawyer experienced in securities arbitration can help you navigate the process and improve your chances of success.
Can I File a Lawsuit Against CUSO Financial Services?
If your financial advisor’s negligence or misconduct resulted in financial losses, you might consider filing a lawsuit against CUSO Financial Services; however, you likely can‘t take legal action.
You probably agreed to resolve disputes through FINRA arbitration instead of pursuing legal action in court when you signed a contract to work with your advisor.
Call an Investment Fraud Attorney Today
Meyer Wilson has been in business for over 25 years, and its skilled team is ready to handle claims against major financial firms. The sooner you contact us, the more time we can dedicate to investigating your complaints against CUSO Financial Services.
Dealing with investment professionals and large corporations can be overwhelming, especially if you’ve already faced significant losses.
If CUSO Financial Services or one of their advisors has violated your trust, you can hold them accountable and recover your losses. Contact us today to assess your potential claim.
