Press Release

DENVER, CO – September 1, 2023 - The Colorado Division of Securities (“Division”) is issuing this Adviser Alert to provide regulatory guidance to investment advisers who utilized TD Ameritrade (TDA) to custody clients’ assets. The conversion of TDA accounts to Charles Schwab & CO., Inc. (SCH) is scheduled to be completed by September 5, 2023, at which time TD Ameritrade will cease to exist. Advisers who utilized TDA as their custodian need to decide immediately on whether to convert accounts to SCH or select an alternate custodian.

Colorado Securities Commissioner Tung announced that investors that purchased retail precious metals from Lear Capital will receive compensation as a part of Lear’s bankruptcy plan. State securities regulators had been investigating Lear for deceptive securities and commodities activities and misleading marketing at the time of the company’s bankruptcy.

The Colorado Division of Securities’ (“Division”) is issuing this Adviser Alert to bring attention to the risks of inverse and leveraged ETFs and the short-term and volatile nature of these complex products. 

Kent Lawayne Edlin was indicted on 8 counts of securities fraud by a grand jury on May 4, 2023. Edlin was arrested today.

April 6, 2023  - The Colorado Securities Commissioner Tung Chan announced a multi-state settlement with Robinhood Financial LLC who will pay up to $10.2 million in penalties for operational and technical failures that harmed main street investors and will implement internal changes.

March 30, 2023 --  The Colorado Division of Securities (“Division”) is providing notice that on March 30, 2023, new rules adopted by the Securities Commissioner have become effective. The Colorado Securities Act and rules can be found on the Division’s website at Statutes and Rules. The Statement and Basis of Purpose and a redlined copy of the rules can be found on the Division's website at Rule Making Notices and Opinions.

March 17, 2023 --  The Colorado Division of Securities has issued a consent order against Nexo Capital Inc. (Nexo), a Cayman Islands-based corporation that provides cryptocurrency-related financial services. The Division’s action is part of a nationwide settlement of alleged securities law violations by Nexo in connection with its Earn Interest Product (EIP) accounts. Nexo’s EIP promised to pay investors interest on cryptocurrency deposited into a Nexo “crypto interest account.”

March 15, 2023 -- The Colorado Division of Securities will host a booth at the Colorado Older Adult Financial Justice Symposium on March 15th, 2023 from 8:30 am- 4:00 pm at the Knoebel Institute for Healthy Aging at the University of Denver. The Division will be in-person to provide educational resources, as well as information about the ways the Division investigates securities fraud and refers cases for prosecution. We hope you will stop by if you are at the event.

February 14, 2023 -- The Colorado Division of Securities (the “Division”) would like to provide notice that on February 1, 2023, the Securities Commissioner adopted new and amended rules under the Colorado Securities Act.  Regulations that have been adopted, but are not yet effective, can be found on the Division's website at Rule Making Notices and Opinions.