Investment Losses Caused by Waddell & Reed, Inc.
Recover Your Losses with a Securities Fraud Lawyer
Waddell & Reed Financial, Inc., through its subsidiaries, provides
investment management and financial planning services to clients throughout
the United States.
Founded in 1937, Waddell & Reed is one of the oldest financial planning
establishments in the U.S. with its headquarters located in Overland Park,
Kansas. A publicly held corporation (NYSE: WDR), Waddell & Reed distributes
investment products through independent financial advisors, broker-dealers,
registered investment advisors, and various retirement platforms.
A securities brokerage firm licensed by FINRA, Waddell & Reed has a
legal duty to supervise its brokers and its brokers' recommendations
to clients to ensure compliance with and prevent violations of the rules
of the security industry. When an individual broker is negligent or acts
in an unlawful manner against the interests of the client and that client
suffers damages because of such wrongdoing, the firm may be held liable
for the investor's losses.
Waddell & Reed, Inc. Investment & Broker Misconduct
Like many other investment firms like it, Waddell & Reed has some history
of investment and broker misconduct. In 2004, the NASD
charged Waddell & Reed with suitability violations regarding thousands of variable annuity exchanges. According to the complaint,
Waddell & Reed recommended 6,700 variable annuity exchanges without
first determining whether the investments were
suitable for the investors.
Waddell & Reed made a profit – about $37 million – while
investors lost millions of dollars. This is a prime example of misconduct
in the form of brokers acting in their best interests, rather than the
best interests of their clients. In 2005, NASD announced that Waddell
& Reed had agreed to pay a
$5 million fine as well as $11 million in restitution to investors who were harmed by the
Contact Meyer Wilson to discuss your case against Waddell & Reed, Inc.
Waddell & Reed brokers already have a history of acting in their own
interests above the interests of investors. Meyer Wilson investment loss
attorneys have the resources and experience to hold them accountable for
fraud or negligence. Our lawyers can aggressively pursue claims founded
on careful and thorough investigation, either in federal and state courts
or in arbitration with FINRA, AAA, or privately. Because Meyer Wilson
practices solely in securities fraud and arbitration, our insight is specifically
honed to your needs as a victim of investment fraud. Our firm has recovered
hundreds of millions of dollars for our clients in our recent history—we
may be able to help you.
If a Waddell & Reed broker caused you over $75,000 in losses, contact
Meyer Wilson as soon as you can.
Complete our online form or call us at 888-390-6491 for a free case consultation.