The U.S. Securities and Exchange Commission sanctioned two investment advisory firms for failing to seek best execution on client trades placed with their in-house broker units.
A.R. Schmeidler & Co., based in New York, agreed to pay more than $1 million to settle claims that it failed to re-evaluate whether it was providing advisory clients best execution, the SEC said today in a statement.
In the same statement, the SEC said Indianapolis-based Goezler Investment Management and its owner agreed to pay $500,000 to resolve the agency’s claims that it misled investors about the process of selecting itself as the broker for advisory clients, according to the statement.
To contact the reporter on this story: Joshua Gallu in Washington at firstname.lastname@example.org
To contact the editor responsible for this story: Maura Reynolds at email@example.com