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.
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