A FINRA arbitration panel has ordered Raymond James and several of its financial advisors to pay a total of $4.8 million to Baird, based on claims that the former firm illegally “raided” clients and assets.
The causes of action relates to Baird’s allegation of an “illegal campaign” by Raymond James and a team of advisors at the Wise Investor Group to “wrongfully and illegally raid … Baird’s Reston, Virginia, branch office of its business, employees and value — leaving [Baird] without an ability to fairly compete for the clients it had been serving.”
The ruling, first reported by AdvisorHub, follows on more than two years of cross-motions and arguments by both parties. In addition to ordering payments from Raymond James, it also requires Baird to pay $500,000 in compensatory damages to three advisors who themselves must make payments to Baird that range between $158,000 and $283,000.
