March 08, 2017
Voya Financial Advisors, Inc.
SANCTION AMOUNT: Approximately $3 million
Defendants: Voya Financial Advisors, Inc.
Respondent, an investment adviser, allegedly failed to disclose to clients that it had two agreements with its clearing broker causing conflicts of interest. Under one of the agreements, Voya received a certain percentage of the clearing broker's revenues from mutual funds in a no-transaction-fee program that it offered, in which Voya participated. And in the other, Voya agreed to provide certain administrative services in exchange for the clearing broker sharing a certain percentage of service fees it received from mutual funds on the platform.
- Key Docs
- Official SEC press release