Arete Wealth Broker Jason Lamb Faces Multiple Complaints Over Alternative Investment Losses

Jason Lamb (CRD#: 3248356), a broker currently registered with Arete Wealth Management in Nashville, Tennessee, is facing mounting legal scrutiny following a wave of investor complaints. In 2024 alone, Lamb has been named in 10 separate customer disputes, many involving claims of unsuitable recommendations tied to risky, illiquid investments.

We’ll examine the details of the customer allegations, Lamb’s regulatory history and what investors can do if they suspect misconduct. Sonn Law Group is actively investigating these claims and encourages affected individuals to contact us for a free case evaluation to understand their legal options.

Customer Allegations and Complaint History

According to FINRA BrokerCheck, Jason Lamb has been named in 10 customer disputes, all filed in 2024. Every complaint involves allegations of unsuitable investment recommendations, many tied to alternative investments and private placement products, which are often high-risk and illiquid.

Eight of these disputes have been settled, while two remain pending. Claimed damages total over $1.3 million, with settlement amounts ranging from $6,000 to $110,000. The consistency of the allegations and the concentration of complaints in August 2024 suggest possible misconduct tied to Lamb’s time at Center Street Securities.

Below is a breakdown of the reported complaints:

• December 2024 – Pending claim; damages sought: $100,000
• November 2024 – Pending claim; damages sought: $250,000
• August 2024 – Settled for $110,000
• August 2024 – Settled for $15,000; damages sought: $200,000
• August 2024 – Settled for $6,000; damages sought: $86,000
• August 2024 – Pending claim; damages sought: $75,000
• August 2024 – Settled for $8,250; damages sought: $105,000
• August 2024 – Settled for $100,000
• August 2024 – Settled for $8,250; damages sought: $220,000
• August 2024 – Settled for $8,250; damages sought: $184,000

Lamb has denied any wrongdoing in each matter, stating that he did not personally recommend the investments or have direct contact with the customers. However, the timing, volume and repetitive nature of the complaints, especially their concentration during his tenure at Center Street Securities, indicate a potential pattern of broker misconduct related to alternative investment recommendations.

Regulatory Actions and Past Disciplinary History

In August 2014, Jason Lamb was sanctioned by FINRA for failure to supervise the sale of approximately $770,000 in renewable secured debentures — classified as illiquid and high-risk investments — to nine customers.

According to FINRA, Lamb ignored red flags and approved the debenture sales without adequately considering clients’ investment goals, risk tolerance, age or liquidity needs. He neither admitted nor denied the findings but agreed to a $10,000 fine and a two-month suspension from acting in a principal capacity.

This regulatory history is significant because it demonstrates a prior failure to uphold supervisory duties, particularly concerning high-risk, non-traded investments similar to those at the center of recent complaints.

Employment Timeline and Licensing

Jason Lamb began working in the securities industry in 1999 and has been registered with Arete Wealth Management since February 2021. Prior to that, he was affiliated with:

• Center Street Securities (2009–2023)
• ProEquities, Inc. (2001–2009)
• American Express Financial Advisors and IDS Life Insurance Company (1999–2001)

He has passed seven industry exams, including the Series 7, Series 24 (General Securities Principal) and Series 51 (Municipal Fund Securities Principal). Lamb is currently registered with FINRA as a General Securities Principal and Representative, operating out of Nashville, Tennessee.

Why Alternative Investments Are Risky

Alternative investments, such as private placements, debentures and non-traded REITs, are financial products that fall outside traditional markets like stocks and bonds. While they’re sometimes pitched as exclusive or high-yield opportunities, they carry substantial risks that can catch investors off guard.

Key risks include:

• Illiquidity: These investments often can’t be easily sold or cashed out. Many have long lock-up periods or withdrawal restrictions, leaving investors stuck even in times of financial need.
• High Fees and Complex Structures: Alternative products frequently involve steep management or performance fees, and many are structured in ways that make it hard to understand the true risk or value.
• Lack of Transparency: These investments often don’t have the same level of oversight or disclosure requirements as publicly traded assets, making it difficult for investors to track performance or assess risk.

Suitability Standards and FINRA Rules

Under FINRA Rule 2111, brokers must have a reasonable basis to believe their investment recommendations are suitable for the customer’s financial situation, goals, and risk tolerance. This rule is central to protecting investors from inappropriate or overly risky products.

Brokers are expected to evaluate factors like a client’s age, income, liquidity need and investment experience before making any recommendation. For higher-risk products like alternative investments, this due diligence is even more critical.

Brokerage firms like Arete Wealth Management and Center Street Securities also have a duty to supervise their representatives. If they failed to detect red flags or prevent unsuitable recommendations, they may share liability for investor losses under FINRA’s supervisory rules.

What Investors Should Know

If you’ve lost money in complex or illiquid investments, especially ones that weren’t clearly explained, you may have been misled or exposed to unsuitable financial products. Alternative investments carry significant risks, and brokers have a duty to ensure these products align with your financial profile.

Common red flags that may signal broker misconduct include:

• Significant or unexpected losses in alternative or high-risk investments
• Investments that were never fully explained or for which key risks were downplayed
• Difficulty accessing your funds or learning when (or if) you can sell your investments
• Receiving vague or evasive answers when you request more information
• Unauthorized or unfamiliar trades appearing on your statements
• Being pressured into a particular product or discouraged from asking questions
• Lack of response from your broker or being contacted instead by their supervisor
• Discovering errors on your account statements that remain unaddressed

How Sonn Law Group Can Help

If you suffered losses after working with Jason Lamb, whether through Arete Wealth Management, Center Street Securities or another firm, you may be entitled to compensation. Sonn Law Group has over 30 years of experience representing investors in FINRA arbitration and securities litigation. Led by nationally recognized attorney Jeffrey Sonn, our firm has recovered millions for clients harmed by broker misconduct, unsuitable investment recommendations, and supervisory failures.

We offer free, confidential consultations and work on a contingency basis — meaning you don’t pay unless we recover for you. Contact us to get started today!