Fidelity is in trouble with FINRA — $375,000 worth of trouble, according to the FINRA website.

The Boston financial giant was censured and fined by the regulatory organization for findings, which "stated that the firms distributed sales materials that were unbalanced and misleading, contained unwarranted statements and failed to provide a sound basis by which to evaluate the fund’s risks."

The FINRA report reads:

The findings stated that the mutual fund included securities backed by, among other things, sub-prime mortgages and credit card and auto loan receivables. After the sub-prime crisis began, the fund’s net asset value (NAV) began to decrease and it became apparent that the fund was no longer an appropriate investment for conservative investors seeking to preserve capital.

FINRA also notes that Fidelity did have review procedures, but that they were not designed to comply with "applicable laws, regulations and rules."

Fidelity consented to the sanctions without admitting or denying the charges. 

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