The Certified Financial Planner Board of Standards has imposed sanctions against 22 current or former certified financial planners for various violations, in one case revoking the certification of a planner who allegedly breached his fiduciary duties, causing his clients to lose millions of dollars.

The sanctions include public censures, temporary bars, suspensions, permanent bars and revocations of the right to use the CFP marks, the CFP Board said. Under the board's disciplinary code, permanent bars apply to planners who do not currently hold the CFP mark, while revocations apply to CFP holders.

Three planners were publicly censured, one was temporarily barred, four were suspended, six received a permanent bar, and eight had their rights to use the CFP marks revoked, the board said.

Mark J. Jensen of Santa Fe, N. M., had his rights to use the CFP marks revoked, effective April 3,  after failing to  respond to a complaint by the board alleging that he did not act in the best interests of 12 financial planning clients by “introducing into their accounts an options-based investment fund that he did not adequately understand; overconcentrating clients in this unsuitable options-based investment fund with some concentration levels reaching 41%; and recommending that at least two of these clients leverage their accounts to purchase the unsuitable options-based investment fund.”

The board said despite the disclosure in the fund’s (LJM Preservation and Growth Fund) prospectus and other materials indicating the option-based fund posed significant risks, Jensen believed it to be conservative and safe. The board further alleged that Jensen “failed to obtain basic client information, such as the clients’ investment objective and risk tolerance, necessary to fulfill his obligations to his clients. By virtue of the foregoing, Mr. Jensen's clients lost multiple millions of dollars.”

Jensen’s conduct, the board alleged, violated rules requiring that a CFP professional place the interests of the client ahead of his or her own; obtain the information necessary to fulfill his or her obligations; and make and implement only recommendations that are suitable for the client.

Jensen’s Investment Adviser Public Disclosure reveals nine customer disputes regarding breach of fiduciary duty and wrongful conduct with regards to the fund. Seven of the complaints received settlements ranging from $45,000 to $427,329. One client was awarded a judgement in the amount of $272,029.53, and one was denied.

Jensen could not be reached for comment. But his response to the customer’s complaints in his IAPD file, noted that the Preservation & Growth Fund collapsed in February 2018, losing much of its value over two days. “The fund had been awarded the top 5-star rating by Morningstar, and the strategy had a track record of limiting losses during market declines going back to May 2006. Based on these and other relevant factors, the fund became a holding in clients' portfolios. Following the collapse, LJM closed its doors. Tembion Capital Management LLC and the Applicant believe that the fault for the failure lies solely with LJM's management, which took-on risk inconsistent with both the fund's prospectus and stated objectives.”

Jensen entered the industry in 1996 with IDS Life Insurance Company and Ameriprise Financial Services, according to BrokerCheck. He spent 10 years with IDS and 15 years with Ameriprise. He has been with  Tembion Capital Management LLC, which he created since 2012, and he became an independent advisor representative with Stratos Wealth Partners in 2022.  

The complete list of disciplined mark holders is as follows: