I'm always concerned when the only analyst who follows a particular security also makes a market in the security. Because of this, I did some research at nasdr.com to see if any complaints have been filed against GunnAllen Financial.
What I found was that only two complaints have been filed against GunnAllen since 1994, and both were small awards that were unrelated to their research, recommendations, or market making activities. The text of the file that I received from the NASD follows. I'm sorry for the caps but that is how the report was delivered to me and I didn't want to alter it.
As I have said before, when I am deciding whether to hold a stock for a period, as opposed to a day trade or short term hold, I try to cover as many bases as possible. Given that GunnAllen makes a market in GUMM, and has historically traded the most stock of any other market maker, I thought it was important to look into their reputation. Obviously the NASD file doesn't tell everything, but it does give me confidence that their customers don't have many complaints that they thought were important enough to file with the NASD.
Dan
MEMBER FIRM: GUNNALLEN FINANCIAL, INC
BD NUMBER: 17609
NASD Member Firm: GUNNALLEN FINANCIAL, INC
BD Number: 17609
2/11/99 SUMMARY INFORMATION
2/11/99: 6/23/95 NASD ARBITRATION
GUNNALLEN FINANCIAL, INC. WAS NAMED IN AN NASD ARBITRATION AWARD. THE ARBITRATION INVOLVED A PUBLIC CUSTOMER AND WAS FILED ON 1/13/94 ALLEGING: ACCOUNT RELATED-BREACH OF CONTRACT.
THE AWARD INCLUDED: ACTUAL/COMPENSATORY DAMAGES, AMOUNT ASKED BY CUSTOMER $1,000.00, AMOUNT AWARDED TO CUSTOMER (PARTIAL OR FULL) $1,000.00; INTEREST, AMOUNT ASKED BY CUSTOMER $0.00, AMOUNT AWARDED TO CUSTOMER (PARTIAL OR FULL) UNSPECIFIED.
[NASD ARBITRATION CASE NO. 93-04871]
2/11/99: 2/04/94 NASD ARBITRATION
GUNNALLEN FINANCIAL, INC. WAS NAMED IN AN NASD ARBITRATION AWARD. THE ARBITRATION INVOLVED A PUBLIC CUSTOMER AND WAS FILED ON 5/11/93 ALLEGING: ACCOUNT RELATED-DIVIDENDS.
THE AWARD INCLUDED: ACTUAL/COMPENSATORY DAMAGES, AMOUNT ASKED BY CUSTOMER $423.02, AMOUNT AWARDED TO CUSTOMER (PARTIAL OR FULL $423.02 JOINTLY AND SEVERALLY; INTEREST, AMOUNT ASKED BY CUSTOMER $0.00, AMOUNT AWARDED TO CUSTOMER (PARTIAL OR FULL) $157.98 JOINTLY AND SEVERALLY.
[NASD ARBITRATION CASE NO. 93-01058] |
