Investment Fraud Info Center
Common Securities Fraud & Stockbroker Misconduct Claims
securities fraud lawyers are licensed in Ohio, California, and Michigan, and represent investors
nationwide in securities arbitration and litigation claims. Some of the
common investment misconduct claims we see include breach of fiduciary
duty, unsuitability, asset allocation, failure to supervise, negligence
and unauthorized trading.
When selecting an attorney to represent you in your investment loss case,
consider their success. Many attorneys appear to know what they're talking about, but do
not have the results to back it up.
Meyer Wilson recovered more than $350 million for clients. To have your case reviewed by our office, simply give us
a call or fill out our contact form.
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Breach of Fiduciary Duty
Every broker or financial advisor has certain duties he or she must uphold
for their investors, such as putting their financial needs first. When
this duty is breached, investors can file claims for compensation. According
to securities industry regulations, financial advisors and brokers are
prevented from participating in deceptive or manipulative practices, as
this can be detrimental to the investors. If your broker used fraud, misconduct,
or some other type of manipulation for their own benefit without considering
your best interests, this could constitute
breach of fiduciary duty. This can take many different forms.
Detecting the Different Types of Fraud
In the investment and securities industry, there are many different types
hedge fund fraud,
mutual fund fraud and
auction rate securities fraud. These are all forms of misconduct, and investment firms should be held
accountable for their breach of duty. Some of the major types of misconduct
are detailed below.
The bulk of what comprises a successful portfolio is proper allocation
of assets. If your financial advisor did not properly diversify your assets,
you may have suffered significant financial losses.
Churning is the practice of excessive trading for the purpose of financial
gain. Churning often hurts investors and benefits brokers. Meyer Wilson
can help you determine if your broker traded your assets excessively.
One of the main reasons a broker might engage in excessive activity is
to generate additional commissions. This is a form of misconduct and could
warrant an investor claim.
Failure to Execute and
Failure to Supervise
When an investor makes a request with their investment firm, the firm
is required to comply in a timely manner. Investment firms are also required
to provide adequate supervision so that investors do not suffer unnecessary losses.
This is a form of deceit and manipulation on behalf of financial advisors.
If you were advised based on false information, you could file a securities
Many investors find that buying on margin is extremely profitable. Margin
trading can be risky though, and result in an increased risk for financial losses.
When investment firms act in bad faith, investors suffer. If you were
harmed by negligence, there is hope. This firm could help you present
a case for negligence on behalf of your financial advisor.
You have heard it said, "don't put all your eggs in one basket."
When financial advisors do not diversify, it increases the risk of financial
losses. If your broker over-concentrated on your investments, you could
have a claim.
Ponzi and Pyramid Schemes
How can you know if you were defrauded by a Ponzi or pyramid scheme? Meyer
Wilson can help uncover fraudulent investment operations that harm investors.
Investors who are sold unregistered securities may be able to take legal
action. Private placements operate outside of the stock market, but they
have recently become a subject of concern.
Even if your broker has your best interests in mind, they must always
ask your permission before buying or selling. Trading that is unauthorized
can not only be harmful, it could warrant legal action.
Undisclosed Conflicts of Interest
Sometimes, brokerage firms enter into agreements with mutual funds. These
revenue sharing agreements can create a conflict of interest that you,
as the investor, are entitled to know about.
Your broker or financial advisor must be intimately familiar with your
financial situation. In fact, it is required by New York Stock Exchange
Rule 405. If your broker doesn't take the time to understand the history
of your investments as well as your needs, they could make an unsuitable move.
Covering It Up
When brokers need to cover up their misconduct, they can use deceitful
practices to cover it up, such as
misrepresentation and omissions. Your financial advisor is charged to fulfill their duty to you as an investor.
Part of this includes being open and honest at all times. It is considered
misconduct for an advisor to purposefully omit or conceal the truth to
their clients as well as their supervising brokerage firm.
Getting Your Money Back
Stockbroker arbitration and
stockbroker mediation are the best chances you have to get your money back. FINRA arbitration
and mediation are available to investors who lost money through the fraud
or misconduct of a registered broker working for a registered brokerage
firm or financial institution.
Call an investment fraud attorney at Meyer Wilson!
With more than 50 years' combined legal experience, our
investment fraud lawyers have the resources necessary to offer a comprehensive overview of your
potential claim. We pride ourselves on our ability to listen and respond
to our clients' questions and concerns throughout the legal process.
Meyer Wilson only accepts cases that our firm is confident have sufficient
merit to warrant the pursuit of damages. We do not charge our clients
a fee for their consultations, and all of our cases are accepted on a
contingency fee basis, meaning our firm earns a fee only if we recover losses for you. Don't
hesitate to contact our firm today!