Securities regulators “police” the securities industry and issue fines and suspensions. Statistics demonstrate that they are far more likely to recover if they are represented by experienced securities lawyers . Since investors sign account documents at brokerage firms which almost always contain binding arbitration clauses, most claims against brokerage firms must be resolved in securities arbitration instead of court. LSP will provide a free consultation and assess the validity of your case. Our experienced team of former stock brokers and industry insiders will be able to provide you with the strengths and weaknesses of your case and inform you of the potential of filing a securities arbitration claim to recover your lost assets.
Non-traded REITs often pay 10% or more in commission to the salesmen and charge ongoing marketing expenses as high as 2-3%. As a result, the non-traded REIT will have to return as much as 12-13% to simply break even. In times of market crisis, similar to what we are now experiencing, most preferred securities act more like common stock than fixed income. As a result, preferred securities miss the upward price appreciation that common stocks enjoy but are exposed to the downward declines. These investments that are traditionally thought of as income-producing vehicles have lost significant value, performing far below their income generating alternatives. A financial advisor violates his or her fiduciary duty to a client and acts against the client’s wishes or best interest if the advice or recommendation provided does not meet the investor’s specific needs.
If a broker has committed securities fraud resulting in an investment loss, you may be able to take legal action against the broker. Firms can be held liable for their fraudulent activities in FINRA arbitration, whether the victims were private individuals or other brokerage firms. If you have lost money to a brokerage firm who you believe to have fraudulent activity on your securities and investments, you may be entitled to compensation.
We help investors who have been harmed by the misconduct of brokerage firms or financial advisors
Bogus companies will rush you to decide to invest with them and have an unreasonable deadline for receiving your money. The email or letter you received from them will likely have spelling and grammatical errors. Check to see if the website they’re working from has a secure link. Secure links are usually identified by a padlock icon on the browser. Being defrauded by a brokerage firm whom you thought you could trust can be difficult.
Dont Let Your Broker Get Away
Distributions may be administered by FINRA staff, the securities firm itself under FINRA oversight, or a third-party administrator appointed by FINRA.Learn more about assisting FINRA in an investigation. If you have an investment portfolio that consists of long and short term investments, don’t fret. The Financial Industry Regulatory Authority is a private self-regulatory organization that regulates broker-dealers and stockbrokers. They are charged with licensing, registration, arbitration, and enforcement. The organization is based in New York and is formally known as the NASD.
You may have understood some of the risk of investing when you signed on to work with your stockbroker and brokerage firm, but chances are you were not prepared to be swindled by money-hungry financial advisors. Most investors have zero experience in FINRA arbitration claims, leaving them confused about what to expect as they move forward with their hearing. Most of the attorneys and staff in our securities law firm previously served as NASD/FINRA licensed financial advisors or as compliance officers of major brokerage firms. This gives us insight into how the securities business operates beyond almost all other law firms.
Advisors often discourage investors from filing complaints, telling customers the losses are only temporary. They didn’t understand it to begin with, so they don’t fully understand their losses. They think the loss is their fault and chalk it up to the inherent risks of investing when an actually a broker is to blame. Churning is when a broker makes repeated trades for the sole purpose of generating commissions for themselves. It often happens when investors allow their broker to make discretionary trades. Some act outside the scope of normal business to get around regulations.
When a person is a fiduciary, higher standards are imposed on him than average. If Carvana Stock Loss Lawyer find your broker has been trading in violation of the basic rules of your account and if you lose money as a result of that, you have the right to file a lawsuit. One such glaring example is the Principle Protected Note (“PPN”) . By the name alone, a reasonable investor would understand that the principal was somehow protected and guaranteed. In reality, many firms marketing materials on the product misled brokers into promising that to investors.