FINRA Orders Schwab to Pay $ 18M to Investors for Improper Marketing of YieldPlus Bond Fund

FINRA News Release

For the same conduct addressed in the SEC action discussed above, FINRA ordered Charles Schwab and Co. Inc. to pay $ 18 million dollars into a Fair Fund to be established by the SEC. FINRA's release stresses that Schwab failed to amend their marketing of the funds in response to changes in the fund's portfolio.

Date

January 11, 2011

Cross References (links may require a Cabinet subscription)

FINRA Action No. 2008012876902

NASD Rules 2110, 2210, 3010(a)