We Represent Investors
We represent investors who have been defrauded by trusted advisors upon whom they rely to guide their financial decisions. Investors have sought our legal help when it comes to claims involving unsuitability, misappropriation of funds, churning, and breaches of fiduciary duty. There are many situations when an investor can sue their financial advisor.
Unsuitability
Part of a financial advisor’s duty to their investors is to recommend investment strategies that are suitable. The suitability of an investment has to do with, for example, an investor’s risk tolerance, experience, and the return on investment they’re seeking. Suitability is an important factor for investors to consider because an unsuitable investment strategy can lead to financial ruin for some investors.
Churning
Some financial advisors or planners work based on commissions. That’s to say that they get paid based on what they help you earn. Buying and selling securities in a deceitful manner to generate larger commissions is known as churning. This practice is not only unethical, it’s also illegal. Churning is not easy to spot and even savvy investors can be made to look the other way by smooth talking advisors. Although hard to spot, if you believe your investments and future have suffered due to this or any other unethical practice you need to seek legal counsel.
What is a Fiduciary Duty?
When someone is a fiduciary that means they have a duty to act in someone’s best interest. A fiduciary duty means that someone must act in good faith and in exercising their duty they must place their client’s best interests before their own. Financial Advisors hold a fiduciary duty to their investors by law. A breach of fiduciary duty is therefore a breach of the law.
