04/01/2009-07/13/2009; CLIENT STATES SHE FELT PRESSURED INTO PURCHASING THE FIXED IMMEDIATE ANNUITY SHE BOUGHT ON APRIL 1, 2009. CLIENT STATES SHE DID NOT UNDERSTAND THE MONEY USED TO PURCHASE THE ANNUITY WOULD NOT LONGER BE PART OF HER WORKING PORTFOLIO. CLIENT STATES THIS LEFT HER PORTFOLIO TOO LOW TO HAVE AN OPPORTUNITY TO GROWN AND RE-GAIN MARKET LOSSES WHICH OCCURRED DURING THE MARKET DOWNTURN. CLIENT STATES SHE WAS NOT OFFERED OTHER OPTIONS, NOR WERE THE NEGATIVES OF PUTTING MONEY INTO THE ANNUITY EXPLAINED. CLIENT STATES SHE NOW REALIZES THE EARNINGS SHE WILL GET FROM THE $320,000 INVESTED IN THE ANNUITY IS NEGLIGIBLE. CLIENT STATES SHE DOESN'T WANT THE ANNUITY AND NEVER DID THE WANT THE ANNUITY. CLIENT IS REQUESTING THE ANNUITY PURCHASE BE CANCELLED AND HER $320,000, MINUS THE DISTRIBUTIONS SHE RECEIVED, BE RETURNED TO HER.

$5,000.00

FA STATES THE CLIENT AND HER HUSBAND SOLD THEIR MUTUAL FUNDS AT MARKET LOWS AGAINST FA'S RECOMMENDATIONS. FA STATES HE HAD MULTIPLE DISCUSSIONS WITH THEM REGARDING INVESTING BACK INTO THE MARKET. FA STATES THE CLIENTS DID NOT WANT TO INVEST BACK INTO THE MARKET. FA STATES CLIENTS NEEDED A MONTHLY INCOME FROM THE ACCOUNT OF $6,500. FA STATES HE DISCUSSED VARIOUS INVESTMENTS, INCLUDING CORPORATE BONDS, MUNICIPAL BONDS, BOND FUNDS, EQUITY FUNDS, MONEY MARKETS AND THE IMMEDIATE PAY ANNUITY. FA STATES HE RECOMMENDED $320,000 BE INVESTED INTO THE ANNUITY BECAUSE IT WOULD GENERATE APPROXIMATELY 1/2 OF THEIR MONTHLY INCOME NEED FOR THE STATED PERIOD OF TIME. HE EXPLAINED TO THE CLIENT THIS COULD NOT BE DONE WITH BONDS, AS IT WOULD USE TOO MUCH CAPITAL. FA STATES CLIENT DISCUSSED THE ANNUITY AT LENGTH WITH HIM AND ASKED MULTIPLE QUESTIONS. FA STATES CLIENTS MADE THE FINAL DECISION TO PURCHASE THE ANNUITY. FA STATES HE HAD MULTIPLE CONVERSATIONS WITH THE CLIENTS AFTER THE ANNUITY WAS PURCHASED. FA STATES, NEITHER THE CLIENT NOR HER HUSBAND EXPRESSED ANY DISSATISFACTION WITH THE ANNUITY DURING THESE CONVERSATIONS. FA STATES THE CLIENT DID NOT INSTRUCT THE FA TO CANCEL THE CONTRACT DURING THE FREE LOOK PERIOD, WHICH THEY WERE OFFERED. FURTHER, THE FA PROVIDED A COPY OF A LETTER SENT TO THE FA FROM THE CLIENT WHEN THEY TRANSFERRED THEIR ACCOUNT, THANKING THE FA FOR THE GOOD SERVICE HE PROVIDED OVER THE YEARS. CLIENT STATED THEY WERE TRANSFERRING THE ACCOUNT DUE TO THE DISTANCE THEY LIVED FROM THE BRANCH OFFICE.