Q: I had a client recently who was upset that his account had declined. I took it as the client just blowing off steam since I know my client and he gets like that sometimes. I didn’t bother escalating it to management since I didn’t really see it as a client complaint. But he later gave my manager an earful and I caught flak for not reporting it. Where should we draw the line between a customer complaint and a client just venting?

A: The Supplementary Material to FINRA Rule 4530 says that a “member must report any written grievance by [a customer] involving the member or a person associated with the member. In addition, with respect to a [customer], … the member must report any securities-related written grievance by such person involving the member or a person associated with the member and any written complaint … alleging theft, misappropriation of funds or securities, or forgery.”

Register or login for access to this item and much more

All Bank Investment Consultant content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access