Arkadios Capital, LLC has agreed to pay a fine of $25,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).

From September 2022 through March 2024, Arkadios Capital failed to establish, maintain, and enforce a supervisory system, including written policies and procedures, reasonably designed to achieve compliance with the Care Obligation of Rule 15/-1 of the Securities Exchange Act of 1934 (Reg BI) regarding recommendations of leveraged and inverse exchange-traded funds (Non-Traditional ETFs).

As a result, the firm failed to comply with Reg Bi’s Compliance Obligation and therefore violated Exchange Act Rule 15/-1 (a)(l) and also violated FINRA Rules 3110 and 2010.

For its violations, Arkadios Capital was censured, fined $25,000, and ordered to pay restitution of $20,571.29 plus interest.

Arkadios Capital has been a FINRA member since 2016. Arkadios Capital is headquartered in Atlanta, Georgia. It has 268 registered representatives and 82 branch offices.