SEC charges Total Wealth Management with fraud

The Securities and Exchange Commission today (April 15) charged a San Diego investment advisory firm, Total Wealth Management, and its owner, Jacob Cooper, with fraud.

The firm's officials engaged in undislosed revenue-sharing agreements through which they paid themselves kicbacks, or so-called "revenue-sharing fees," says the SEC.

The firm put clients into the Connecticut-based Altus family of funds. But Total Wealth and Cooper "failed to disclose to clients the conflicts of interest created by these agreements," says the SEC.

Total Wealth and Cooper also misrepresented the extent of due diligence done on the recommended investments, charges the agency.