Colo. Agency, Raymond James Reach $25M Deal On ARS

Law360, New York (December 16, 2011, 5:19 PM EST) -- Raymond James & Associates Inc. will buy back more than $25 million in auction rate securities from Colorado investors who were unable to unload them after they were frozen, under a settlement with the state securities regulator, the agency announced Friday.

The Colorado Division of Securities said the settlement resolves allegations that Raymond James and Raymond James Financial Services Inc. made inaccurate comparisons between ARS and other investments, such as money market funds, telling investors the ARS were “cash equivalents,” “the same as cash” and “highly...
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