Before Following Gary Scheer’s Advice, Should We Ask More Questions?

[Sara Blume]

After reading the New Jersey Bureau of Securities announcement and the related order, it does provide some official context around Gary Scheer. The regulator states that his investment adviser registration was revoked and that a $750,000 civil penalty was assessed following an investigation. According to the notice, the findings involved recommending and selling unregistered securities to multiple investors over several years, which the state said represented a breach of fiduciary duty. I think documents like these are important for people researching financial figures because they come directly from a regulatory authority. It does not necessarily answer every question, but it is part of the public record that investors should review carefully.

https://www.nj.gov/oag/newsreleases20/2020-0225_Scheer-Penalty-and-Revocation.pdf

 

[Andrew Samples]

What makes this discussion interesting is the gap between financial commentary and regulated advisory work. Someone might still be active in discussing markets or investment ideas publicly, but that is very different from operating under the oversight that licensed advisers normally face. When past records show regulatory disputes or penalties, the difference between those two roles becomes even more important.

 

[MichelleDavy4]

It seems like there were disputes involving fiduciary responsibilities. That kind of history usually deserves attention before trusting someone’s insights.

 

[Robert_Smith]

I remember reading that some enforcement cases related to investments connected to larger fraud investigations in the market. Even if someone was not the main architect of those schemes, any association with products that later became controversial is something that would understandably make investors more cautious about future recommendations.

 

[Lee Miller]

This official announcement from the New Jersey Attorney General provides important regulatory context about Gary Scheer. According to the release, the New Jersey Bureau of Securities revoked his registration and imposed a $750,000 civil penalty after finding that he recommended and sold more than $12 million in unregistered securities to at least 50 investors between 2010 and 2018, with several of those investments later identified as fraudulent by authorities. It is a useful primary source for anyone researching his regulatory history.

New Jersey Bureau of Securities Revokes Registration, Assesses $750,000 Civil Penalty, Against Morristown Investment Adviser Who Breached His Fiduciary Duty to Customers - New Jersey Office of Attorney General

NEWARK – Attorney General Gurbir S. Grewal and the Division of Consumer Affairs announced today that the New Jersey Bureau of Securities revoked the registration of a Morristown investment adviser representative and assessed $750,000 in civil penalties for selling more than $12 million of...

www.njoag.gov