Hal Klein: FINRA Suspends Pacific Pointe, Ex-LPL Advisor

Seal Beach, California financial advisor Hal Klein (CRD# 1021759) was recently sanctioned and suspended in connection with alleged rule violations. Financial Industry Regulatory Authority records show that he is registered as a broker with NewEdge Securities and an advisor with NewEdge Advisors, doing business as Pacific Pointe Advisors.

A FINRA Letter of Acceptance, Waiver, and Consent (# 2021071463401) details the alleged rule violations by Mr. Klein. Accepted by FINRA on October 15, 2024, it states that he falsified the electronic signatures of 58 customers on 145 total account documents. He had permission from the 58 customers, the Letter states, adding that 46 of them were seniors. The documents in question included “account applications, account feature forms, and account transfer forms.” They were “required books and records” of his former member firm, LPL Financial, which means that their alleged falsification violated FINRA Rule 4511. This rule stipulates that firms must maintain accurate books and records, and that brokers may not cause their firms to maintain inaccurate records.

FINRA found that while “none of the customers complained and the transactions were authorized,” Mr. Klein nonetheless “incorrectly attested” to the firm on three compliance questionnaires that he had not signed other persons’ signatures on documents. It also found that his conduct violated FINRA Rule 2010, which stipulates that brokers, in the course of their business, must observe high standards of commercial honor and just and equitable principles of trade. “Signing or affixing another person’s name to a document with the other person’s prior permission but without indicating that it is being done on someone else’s behalf,” the AWC Letter states, “is falsification.” FINRA consequently issued Mr. Klein a fine of $5,000 and a three-month suspension from associating with any FINRA member in any capacity.

Mr. Klein’s BrokerCheck report discloses his discharge from LPL Financial. Filed in 2021, it states that the firm fired him in connection with allegations that he electronically signed account documents on behalf of customers.

According to the Financial Industry Regulatory Authority, Hal Klein holds 42 years of securities industry experience. Based in Seal Beach, California, he has been registered as a broker with NewEdge Securities and an advisor with NewEdge Advisors since 2021, doing business as Pacific Pointe Advisors. His past registrations include LPL Financial, National Planning Corporation, Associated Securities, Wellington Securities, Bretcourt Securities, and WZW Financial Services. His credentials include the passage of five securities industry qualifying exams: the General Securities Principal Examination, or Series 24; the General Securities Representative Examination, or Series 7; the Securities Industry Essentials Examination, or SIE; the Uniform Securities Agent State Law Examination, or Series 63; and the Uniform Combined State Law Examination, or Series 66. He is licensed in Arizona, California, Florida, Idaho, Indiana, Nevada, Pennsylvania, Texas, Utah, Washington, and Wisconsin. (Information current as of October 15, 2024.)

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