Don't Make the Mistake of Believing Bond Funds Are Without Risk Investor Claims Is What We Do - All Day, Every Day
  • Super Lawyers
  • Million Dollar Advocates Forum
  • AV Preeminent
  • AVVO 10.0
  • Lawyer of the Year
  • Best Law Firms
  • Best Lawyers

Don’t Make the Mistake of Believing Bond Funds Are Without Risk

In a September Investor News announcement, the Financial Industry Regulatory Authority (FINRA), addressed a common misconception about bond funds. Investors have been attracted to bond funds as a way to reduce their risks and some have filled their portfolios with these investments. FINRA warns that this could cause more risk than investors realize. The common myth about bond funds is that there is little to no risk of losing principal. However, that is not true.

There are some other issues associated with bond funds that you need to understand:

  • Your investment will fluctuate and could drop in value.
    Bond funds behave similarly to stock mutual funds, which many investors fail to realize. In fact, the value of the bond fund can change on a daily basis.

  • Interest rates could impact value.
    A rise in interest rates could cause the net asset values of some bond funds to drop.

  • Your returns could go down.
    Your returns could be dependent on the activity of other investors. FINRA states that if “investors choose to move their money elsewhere,” it could “force fund managers to sell their bond portfolios at a loss to pay redemptions.”

If you have lost money in a bond fund, depending on the details of your case, you may be able to hold the brokerage firm liable and recover your losses. Contact our firm today!

The Meyer Wilson Way

Results-Focused Representation
  • More than $350,000,000 Recovered
  • Voted Best Lawyers in America┬« for Ten Years Running
  • David Meyer is President of Public Investors Advocate Bar Association (PIABA)
  • Over a Thousand Investor Claim Cases Since 1999
  • Exclusive Focus on Investor Claims & Class/Mass Action Lawsuits
  • Deep Bench of Skilled Attorneys and Staff Members

We Recover Investment Losses

Helping You Take Back What Is Yours
  • Jury Verdict Won Against Prudential Securities $262 Million
  • Recovered for 100-Year Old Widow $30 Million
  • Recovered in Retirement Losses $10 Million
  • Recovered for a Large Group of Individual Investors $6.5 Million
  • Recovered for Elderly Victim in Ponzi Scheme Case $3.8 Million
  • Recovered for Elderly Ponzi Scheme Victim $3.2 Million
  • Recovered for More Than 50 Families of Ponzi Scheme in California $3.2 Million
  • Recovered for 35 Families in Northeast Ohio $3.1 Million
  • Losses Recovered for 20 Retirees $3 Million
  • Recovered for Retired Physician Against Major Wall Street Firm Prior to Filing FINRA Arbitration $2.5 Million
/

Talk to Our Team

Get Started with a Free Evaluation
  • Please enter your first name.
  • Please enter your last name.
  • Please enter your phone number.
    This isn't a valid phone number.
  • Please enter your email address.
    This isn't a valid email address.
  • Please make a selection.
  • Please enter a message.