Investor alleges Allegis and former broker Brandon Curt Stimpson put him in unsuitable investments, violated fiduciary duty and engaged in unauthorized trading.
Lawyers group calls on broker regulator to set up fund to compensate investors.
Legislation directs the regulator to use fines to establish a pool of money to cover shortfalls.
About 60 former wirehouse staff claim they lost about $400 million when their Merrill stock dropped in 2007-08 due to the firm's exposure to mortgage-backed securities.
National database would allow workers to check for forgotten 401(k) money after a job change.
Comment period ends April 27.
SEC has made a crackdown on high-fee funds a top priority, including a program for self-reporting failures.
Consumer Federation of America cites Massachusetts action as one to emulate, in letters to the Labor Department and various regulators.
Rule should provide clarity on role of adviser, enhanced investor protection and regulatory coordination.
SEC Chairman Jay Clayton put a fiduciary-rule proposal at the top of the agency's rulemaking agenda on Friday, saying that the market needs "clarity" on the relationships between financial advisers and clients.
