David Yu: IFP Advisor Faces $76K GWG Complaint

At least one current or former customer of IFP Securities advisor David Yu (CRD# 5484970) is listed as creditor for an investment in GWG Holdings preferred stock, according to public records. He has also received an investor complaint in connection with a GWG Holdings investment. Filed with a US bankruptcy court in Texas, these records disclose an investment of $115,636.68. Financial Industry Regulatory Authority records show that he is based in Fort Lauderdale, Florida.

Mr. Yu’s BrokerCheck report discloses one investor complaint. Filed in June 2023, it alleges that as a representative of IFP Securities, he misrepresented and unsuitably recommended an high-commission, high-risk, illiquid  investment in GWG Holdings. The pending complaint alleges damages of $76,150.

When GWG Holdings declared bankruptcy in April 2022, the Dallas-based alternative asset manager had already experienced financial challenges and disclosed to investors that it was under investigation by the Securities and Exchange Commission. Known for its life settlement-backed “L bond” products, the company had raised more than $1 billion from investors, including many retail investors, before entering bankruptcy proceedings. Investors should be aware that FINRA rules require brokers to recommend only investments that are appropriate for a customer’s background, experience, and risk tolerance. Risky investments in GWG Holdings were likely unsuitable for conservative investors, meaning that advisors who recommended those investments may be liable for damages. More information about these products is available here.

According to the Financial Industry Regulatory Authority, David Yu holds 15 years of securities industry experience. Based in Fort Lauderdale, Florida, he has been a broker with IFP Securities and an investment advisor with Independent Financial Partners since 2019. His past registrations include Kovack Securities (Fort Lauderdale, Florida; 2014-2019), International Assets Advisory (Fort Lauderdale, Florida; 2013-2014), Questar Capital Corporation (Fort Lauderdale, Florida; 2011-2013), Financial Planning Associates (Pleasantville, New York; 2008-2011), and Alternative Wealth Strategies (Fort Lauderdale, Florida; 2008-2010). His credentials include the passage of three securities industry qualifying exams: the General Securities Representative Examination, or Series 7; the Securities Industry Essentials Examination, or SIE; and the Uniform Combined State Law Examination, or Series 66. He holds 39 state licenses. (Information current as of September 17, 2023.)

Carlson Law has represented at least nine investors in claims against their financial advisors for investments in GWG Holdings Inc. If you or a loved one have suffered investment losses, please call us at 888-976-6111 or complete our contact form for a free and confidential consultation.