Wedbush Morgan

Wedbush Securities Stock Broker Review: A Comprehensive Analysis

Overview and General Information

Wedbush Securities, established in 1955 by Edward Wedbush and Robert Werner as Wedbush & Company, has evolved from a mutual fund brokerage firm into a full-service financial institution. Its growth trajectory includes becoming the first U.S. financial institution to accept Bitcoin payments in 2014, demonstrating its commitment to innovation and adapting to evolving market trends.

Background and History of the Company

• Founded:1955
• Founders:Edward Wedbush and Robert Werner
• Initial Business:Mutual fund brokerage firm
• Growth:Expanded into a full-service financial firm
• Bitcoin Adoption:First U.S. financial institution to accept Bitcoin payments in 2014

Certifications and Licenses Held

• SEC Registration:Registered with the Securities and Exchange Commission (SEC) under CRD# 877
• FINRA Membership:Member of the Financial Industry Regulatory Authority (FINRA)

Products and Services Offered by Wedbush Securities

Details of Main Products

• Financial Planning Services:
  • Investment planning
  • Tax planning
  • Estate planning
  • Retirement planning
  • Life-based event planning
• Investment Solutions:
  • Mutual funds
  • Exchange-traded funds (ETFs)
  • Unit investment trusts (UITs)
  • Stocks
  • Bonds
  • Alternative investments
• Banking Services:
  • Lending
  • Checking account solutions

Additional and Special Services

• Financial Advisory Programs:
  • Managed Account Program
  • Discretionary Advisory Account Program
  • Non-Discretionary Advisory Account Program
  • Strategist Advisory Account Program
• Cryptocurrency Services:Wedbush Securities was the first U.S. financial institution to accept Bitcoin payments in 2014, showcasing its early adoption of emerging financial technologies.

Product Features and Conditions

Key Attributes and Requirements of the Offered Products

• Investment Advisory Fees:Wedbush Securities charges advisory fees based on a percentage of assets under management (AUM). The fee schedule varies by account size:
  • Accounts up to $250,000: 3.00% fee
  • Accounts above $5,000,001: Negotiable rates
• Wrap Fee Programs:Each wrap fee program has its own unique account types and fee structures. For example, the Managed Account Program has specific requirements and fees that clients should carefully review.

Contact Channels and Customer Support

Contact Methods

• Phone:While specific contact details are not provided in the sources, Wedbush Securities likely has a main office phone number for customer inquiries.
• Email:Although a specific email address is not mentioned, clients can probably contact the firm through their website or main office address.
• Chat/Online Services:It's likely that Wedbush Securities offers online services, but details about chat functionality are not available.
• Branch Locations:Wedbush Securities operates with a licensed staff of 227 advisors across 53 states. Their main office is located at:
  1000 Wilshire Blvd. Suite 900, Los Angeles, CA 90017

Service Hours and Support Quality

• Service Hours:Specific service hours are not explicitly stated. However, clients can likely contact the firm during regular business hours.
• Support Quality:While the sources don't explicitly mention customer support quality, Wedbush Securities' reputation and regulatory actions suggest a certain level of professionalism in their service delivery.

Pros and Cons of Wedbush Securities

Pros

• Strong Research Team:Wedbush Securities boasts a reputable equity research team that has garnered top analyst awards, including being named No. 1 in various categories by the 2019 StarMine Analyst Awards. This strong research capability can provide valuable insights for investors.
• Full-Service Firm:Offering a wide array of financial services, Wedbush Securities provides a comprehensive solution for clients' diverse financial needs. This one-stop-shop approach can be convenient for individuals seeking holistic financial management.
• Regulatory Compliance:Despite facing regulatory issues, Wedbush Securities remains registered and compliant with SEC and FINRA regulations. This compliance ensures a certain level of oversight and protection for clients, promoting accountability and adherence to industry standards.

Cons

• Regulatory Issues:Wedbush Securities has faced multiple regulatory actions and customer complaints, including fines and disciplinary proceedings for supervisory lapses and other misconduct. These issues raise concerns about the firm's internal controls and adherence to ethical practices.
• Customer Complaints:Hundreds of customer complaints have been filed against the firm regarding misconduct by its securities sales and investment advisory representatives. This high volume of complaints highlights potential issues with the firm's representatives and the potential for negative experiences for clients.
• Reputation Concerns:The firm's history of regulatory problems and customer complaints can negatively impact its reputation and trustworthiness among potential clients. This perception can make it difficult for the firm to attract new clients and retain existing ones.

Summary of Wedbush Securities Review

Who is it Best Suited For and Why?

Wedbush Securities is best suited for clients who need comprehensive financial planning and investment solutions. The firm's strong research team and wide range of services make it a good option for those seeking a full-service financial advisor. However, it's crucial to carefully consider the firm's history of regulatory issues and customer complaints before making a decision.

Final Thoughts on Value and Choosing the Company

While Wedbush Securities offers many benefits, including a strong research team and a wide range of services, its history of regulatory issues and customer complaints raises concerns about its reliability and trustworthiness. Clients should thoroughly weigh the potential benefits against the risks associated with the firm. It's essential to conduct thorough due diligence, including reading customer reviews and comparing the firm's offerings to other financial institutions, before making a decision.

Frequently Asked Questions about Wedbush Securities

• Q: What is the average client balance at Wedbush Securities?
  A:The average client balance at Wedbush Securities is $497,178, with the firm managing $4.5 billion in assets.
• Q: Is Wedbush Securities a fiduciary?
  A:As a Registered Investment Adviser (RIA), Wedbush Securities is legally obligated to act as a fiduciary, putting clients' best interests first. However, when acting as a broker-dealer, there is no fiduciary duty. This distinction is important for clients to understand as it impacts the level of ethical obligation the firm has towards them.
• Q: How can I file a complaint against Wedbush Securities?
  A:To file a complaint against Wedbush Securities, clients can use the SEC Investor Complaint Form. This form allows clients to report issues related to securities fraud, investment advice, or other misconduct by brokerage firms.

Key Takeaways

• Wedbush Securities offers a wide range of financial services, including investment planning, investment solutions, and banking services.
• The firm has a strong research team and has been recognized for its equity research capabilities.
• Wedbush Securities has a history of regulatory issues and customer complaints, which may raise concerns about its reliability and trustworthiness.
• Clients should carefully consider the firm's history and reputation before making a decision about using its services.