FINRA

Without admitting or denying the findings, Childs consented to the sanctions and to the entry of findings that he recommended that retail customers purchase non-traditional exchange-traded products (NT-ETPs) without having a sufficient understanding of the risks and features associated with the products, thereby failing to have a reasonable basis to make those recommendations. The findings stated that at Childs' recommendation, nine retail customers in 10 accounts purchased daily reset NT-ETP positions and held them for periods ranging from eight to 1,034 days. These customers incurred $31,667.02 in total net realized losses.

Acceptance, Waiver & Consent(AWC)

Suspension

All capacities

two months

9/3/2024

11/2/2024

In light of Childs' financial status, no monetary sanction has been imposed

Statement of Claim names Portsmouth Financial as the respondent. Matthew Childs is identified as a registered representative responsible for handling the transactions for [REDACTED]. Claims include improperly recommending high risk, high commission, illiquid alternative investment which was unsuitable for clients. Claim alleges respondent failed to conduct reasonable due diligence and the investment was falsely represented as a safe investment that would produce a generous return.

$76,459.63

This compaint was resolved by settlement between the Claimant(s) and the named Respondent, Portsmouth Financial Services, Inc. The Rep was not named as a respondent in the arbitration and was not required to contribute to the settlement. The Rep continues to deny and refute all allegations of claims in their entirety.

Bankruptcy

Discharged

CLAIMANT ALLEGES, INTER ALIA, THAT FROM DECEMBER 2012 TO MAY 2014 THE FA MISREPRESENTED THE RISK OF MUNICIPAL BONDS WHICH WERE UNSUITABLE FOR THE TRUST ACCOUNT.

$468,458.02

$200,000.00

ATTORNEY ALLEGES INVESTMENT MADE DURING AUGUST 2014 WAS UNSUITABLE FOR ESTATE ACCOUNT.

$26,475.00

CUSTOMER ALLEGED THE PURCHASE OF A FOREIGN BOND IN THEIR ACCOUNT WAS MISREPRESENTED AS MATURING AT PAR VALUE - AUGUST 2011 TO AUGUST 2012.

$33,123.48