The Ontario District Council of the Investment Dealers Association of Canada has fined two reps from the Toronto office of TD Evergreen, now TD Waterhouse Investment Advice, for unsuitable trading.

On December 11, the district council accepted a settlement agreement in which James Moon admitted that he engaged in a short-term trading strategy that was not appropriate for the client, completed a new application form for a client that did not reflect the client’s true investment objectives or risk tolerances, and executed 11 trades in a client account using timing discretion.

Benjamin Gelfand admitted that, as joint investment advisor with Moon, he was jointly responsible for the unsuitable short-term trading strategy in the client account. Gelfand also admitted that he completed a new application form for a client account which did not reflect the client’s true investment objectives.

It the IDA fined Moon $25,000, and Gelfand $15,000. It also said both men must successfully rewrite the Conduct and Practices Handbook Exam within one year of the effective date of the settlement agreement.

As well, Moon and Gelfand are each required to pay $15,000 in costs.