B. Riley Wealth Management (“B. Riley Wealth Management“) (CRD#2543) has faced regulatory proceedings, arbitration matters, and investor complaints involving its brokerage operations.
At the Law Offices of Robert Wayne Pearce, P.A., we investigate brokerage firms and represent investors pursuing claims involving fraud, negligence and breach of fiduciary duty, unsuitable recommendations, supervisory failures, and other securities misconduct.
If you lost money because of misconduct involving B. Riley Wealth Management or one of its financial professionals, an experienced investment fraud lawyer can review your account and explain your potential recovery options.
Can I Sue B. Riley Wealth Management?
Potential investor claims involving B. Riley Wealth Management may include unsuitable investment recommendations, excessive trading, unauthorized activity, misrepresentations, conflicts of interest, negligence, or other broker-dealer misconduct.
The firm’s regulatory history also includes matters concerning supervision of 529 plan recommendations, nontraditional ETFs, securities transactions, and other activity. Where inadequate brokerage-firm oversight contributes to investor losses, a potential failure to supervise claim may warrant investigation.
How to Sue B. Riley Wealth Management for Investment Losses
What Can I Do If I Lost Money at B. Riley Wealth Management?
is a registered broker-dealer and investment adviser headquartered at 40 South Main, Suite 1600, Memphis, Tennessee 38103.
Investors throughout Tennessee who believe they suffered losses because of broker or financial-advisor misconduct may have options for pursuing compensation.
Because the firm is headquartered in Memphis, local investors can also review resources from a Memphis investment fraud lawyer.
Who Can Help Me Sue B. Riley Wealth Management?
Successfully recovering investment losses requires an attorney who specializes in securities arbitration and understands the specific violations B. Riley Wealth Management has committed. Our firm has extensive experience representing investors against this broker-dealer and similar firms with histories of supervisory failures. We know how to build cases that connect regulatory violations to individual investor harm, maximizing your chances of recovery.
What is B. Riley Wealth Management?
B. Riley Wealth Management (CRD#2543) 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, B. Riley Wealth Management 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.
B. Riley Wealth Management In Trouble – Latest News
Yes, B. Riley Wealth Management is experiencing significant problems. The firm is facing mounting regulatory scrutiny, financial difficulties, and operational challenges throughout 2024 and 2025.
As of April 2025, FINRA is investigating the firm’s wealth management business. On August 20, 2025, B. Riley Financial received a notice from Nasdaq due to delayed quarterly filings, resulting in non-compliance with listing rules. The company has until September 29, 2025, to file multiple overdue reports.
The firm’s financial distress stems from the bankruptcy of Franchise Group Inc., weak internal controls flagged by auditors, and lack of timely filings. B. Riley Financial has suspended dividends on its preferred shares, with unpaid dividends continuing to accrue as of January 2025.
Why Does B. Riley Wealth Management Have So Many Bad Reviews And Customer Complaints?
Independent broker-dealers like B. Riley Wealth Management often have more customer complaints than traditional brokerage firms because of how they’re structured and supervised. The business model prioritizes growth and cost-cutting over investor protection.
These firms operate using a franchise-type model where they open many offices nationwide to generate steady revenue without the costs of full-service branch offices. The financial advisors aren’t employees—they’re independent contractors running their own businesses. This means they’re not controlled the same way employees at traditional firms are controlled.
The supervision happens through Offices of Supervisory Jurisdiction (OSJs), which are run by other independent contractors from remote locations. These OSJ supervisors aren’t full-time—they often run their own brokerage and insurance businesses while trying to monitor advisors. This creates gaps where unauthorized trades, unsuitable investments, and forged documents can slip through because no one is watching closely enough.
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 supervision. This pattern explains why firms like B. Riley Wealth Management accumulate so many regulatory violations and customer complaints.
Examples of Regulatory Problems and Complaints for B. Riley Wealth Management
B. Riley Wealth Management’s rapid growth has not been without consequences. There have been approximately 18 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 B. Riley Wealth Management 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 over many years. B. Riley Wealth Management is a repeat offender: there are over 18 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 B. Riley Wealth Management Has Faced Over the Years*
B. Riley Wealth Management 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:
FINRA Censures B. Riley Wealth Management for Failure to Supervise 529 Share Class Recommendations
Brief Overview: Without admitting or denying the findings, B. Riley Wealth Management consented to the sanctions and to the entry of FINRA findings that it failed to establish and maintain a supervisory system reasonably designed to supervise representatives’ recommendations to customers to purchase share classes of 529 savings plans. FINRA stated that the firm did not provide proper guidance to representatives regarding the importance of share-class differences when recommending 529 plans. In addition, the firm’s written supervisory procedures required a review of 529 plan applications at account opening but did not require supervisors to evaluate the suitability of share-class recommendations or provide adequate guidance to supervisors regarding factors relevant to such a suitability review. Additionally, despite requiring supervisory review of 529 plan accounts at account opening, the firm did not have any systems or controls designed to track accounts as they were opened to check that the required supervisory reviews were completed. As a result, the firm was censured and ordered to pay restitution totaling $252,740.
FINRA Censures and Fines B. Riley Wealth Management for Failure to Report Transactions
Brief Overview: Without admitting or denying the findings, B. Riley Wealth Management consented to the sanctions and to the entry of findings that it failed to timely report approximately 450 transactions involving trace-eligible securities that were executed between it and an affiliated registered investment advisor. According to FINRA’s findings, the firm failed to maintain adequate written supervisory procedures addressing trace-reporting requirements applicable to transactions involving “to be announced” mortgage-backed securities. As a result of FINRA’s investigation, the firm was censured and fined.
FINRA Censures and Fines B. Riley Wealth Management for Lack of Supervision Over Exchange Trade Funds
Brief Overview: Without admitting or denying the findings, B. Riley Wealth Management consented to the sanctions and to the entry of FINRA findings that it failed to establish, maintain, and enforce an adequate supervisory system and written procedures for the supervision of sales of nontraditional exchange-traded funds. Even though the firm permitted its registered representatives to recommend non-traditional ETFs, the firm’s written supervisory procedures did not adequately address the characteristics and risks associated with nontraditional ETFs. Further, the firm did not utilize an effective system or report to enable its supervisors to identify instances in which a customer might be holding a position in a nontraditional ETF for an extended period. B. Riley Wealth Management also failed to provide formal training to its registered representatives and supervisory personnel regarding the characteristics and risks of nontraditional ETFs. As a result, the firm was censured and fined $50,000.
FINRA Censures and Fines B. Riley Wealth Management for Sale of Unregistered Securities
Brief Overview: Without admitting or denying the findings, B. Riley Wealth Management consented to the sanctions and to the entry of FINRA findings that the firm sold approximately 271 million unregistered shares of thinly traded low-priced stocks without first confirming that the shares could be sold pursuant to an exemption from registration. FINRA stated that because the shares were not covered by a registration statement that did not cover the issuers’ shares, the firm could not sell those shares without having confirmed the availability of an exemption from registration. FINRA also stated that the firm failed to establish, maintain, and enforce a supervisory system designed to ensure compliance with Section 5 of the Securities Act of 1933 and prevent illegal resales of restricted securities. In addition to all this, the firm failed to provide adequate training to the designated supervisors on how to assess the availability of an exemption from registration. As a result, the firm was censured and fined $108,343.
FINRA Censures and Fines B. Riley Management for Failure to Supervise Its Research Analysts’ Personal Trading
Brief Overview: FINRA initiated an investigation into B. Riley Management and alleged that the firm failed to supervise the personal trading of its research analysts who maintained discretionary accounts at other firms. According to FINRA’s allegations, the firm’s written supervisory procedures mandated compliance department review of personal trading of research analysts; but as a matter of policy, the firm did not require compliance review of analyst accounts over which discretionary trading authority had been granted to a third-party manager or advisor. Because of that policy, the firm did not review the personal trading of two analysts who held discretionary accounts at other firms. As a result, the firm was censured and fined $50,000.
*Above are only some of the regulatory disciplinary actions filed against B. Riley Wealth Management by FINRA. NASAA and other state securities regulator investigations and enforcement actions account for another 13 BrokerCheck disclosures.
How to File an Official Complaint Against B. Riley Wealth Management or one of its brokers with FINRA
If you’ve suffered investment losses due to misconduct, negligence, or unsuitable recommendations by B. Riley Wealth Management or one of its brokers, you are not alone. B. Riley Wealth Management (CRD#2543) has accumulated numerous customer complaints, lawsuits, and at least 18 regulatory disclosure events with FINRA and other state agencies.
These issues include failures to supervise, improper 529 plan recommendations, sales of unregistered securities, inadequate oversight of exchange-traded funds, and research analyst trading violations. More recently, the firm and its parent company, B. Riley Financial, have come under heightened scrutiny amid financial reporting delays, dividend suspensions, and ongoing regulatory investigations.
Before contacting the firm directly—which often results in denied or minimized claims—speak with an experienced securities attorney who can file a proper FINRA complaint on your behalf and aggressively pursue the compensation you deserve.
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 B. Riley Wealth Management without representation with an attorney about their complaints and have their complaints denied.
How The Law Offices of Robert Wayne Pearce, P.A. Can Help You Recover Losses at B. Riley Wealth Management
At The Law Offices of Robert Wayne Pearce, P.A., we understand the FINRA arbitration process inside and out. We know how to connect the dots between B. Riley Wealth Management’s documented supervisory failures and the losses you’ve suffered. Our approach involves thoroughly investigating your account history, identifying specific violations, and building a compelling case that demonstrates how the firm’s misconduct directly caused your losses.
We handle all aspects of the arbitration process—from filing the Statement of Claim to presenting evidence at hearings. With over 45 years of experience in securities arbitration and more than $175 million recovered for investors, Attorney Robert Wayne Pearce knows the strategies that work against firms like B. Riley Wealth Management. We offer free consultations to evaluate your case and explain your legal options without obligation.
B. Riley Wealth Management Investors in Tennessee and Nearby States
The Law Offices of Robert Wayne Pearce, P.A. represents investors throughout Tennessee and the surrounding region.
Investors with similar brokerage disputes can also review resources from a Mississippi investment fraud lawyer, Arkansas investment fraud lawyer, or Alabama investment fraud lawyer if they believe broker or brokerage-firm misconduct caused investment losses.
Consult With An Attorney Who Recovers Investment Losses Caused By B. Riley Wealth Management Today
The investment fraud lawyers at the Law Offices of Robert Wayne Pearce, P.A. represent investors nationwide in claims involving unsuitable investments, negligence, breaches of fiduciary duty, supervisory failures, conflicts of interest, excessive trading, and other securities misconduct.
