How Many Bad Brokers Could There Be? Don’t Play the Percentages

When you consider that 73 percent of financial advisers who get caught engaging in misconduct are still doing business with investors a year later, you could just cross your fingers and hope your broker is one of the good ones.

Better yet, you could leaf through the grim results of a study by three finance professors released earlier this month. They looked at records of 1.2 million people registered with the Financial Industry Regulatory Authority, or Finra, to do business with the public. I wrote about the study in my latest column for TheStreet. You can read it here.

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