As an investor, you can request a public report of background information on any stockbroker or brokerage firm. Depending on the state jurisdiction, this report can be obtained either free of charge or for a nominal fee. In addition to employment and examination history, the CRD report will contain the following types of disciplinary history, if applicable:
In order to obtain a CRD report; simply call your local state securities regulator. As a matter of practice, stockbrokers and brokerage firms are not advised of your request. If you need to find out how to contact your state securities regulator, you can call the North American Securities Administrators Association at (202) 737-0900. Also, you can access their Internet web site at www.nasaa.org and click on "Find Regulator."
You can also contact the National Association of Securities Dealers Regulation ("NASDR") at (800) 289-9999 or visit its Internet web site at www.nasdr.com. However, the NASDR does not report certain types of information that may be available through your state securities regulator.
This information is easy to obtain and the securities regulators want you to make informed decisions prior to investing your hard-earned dollars. A vast majority of the stockbrokers and brokerage firms are honest and reputable. However, like many professions, there are those individuals and firms who are not. One phone call may save you from sending your money to a bad broker or disreputable brokerage firm.
Iowa Securities Bureau
601 Locust St. - 4th Floor
Des Moines, IA 50309-3738