Stock Broker Fraud FAQs

• Q: What Is Securities Fraud?
  A: Generally, when a financial professional encourages a client to invest in unnecessarily risky ventures that devalue the client's assets or when the … More
• Q: How can I tell if I`ve been a victim of a stock fraud?
  A: Every case is different but when a stock has dropped, your loss may be due to fraud when Company executives misrepresented facts relating to important aspects of the … More
• Q: What is an unsuitable recommendation?
  A: When you ask your stock broker for advice, you trust that they are giving you the best information for your specific situation.  However, sometimes a broker … More
• Q: What is securities arbitration?
  A: In 1987, the U.S. Supreme Court held that brokerage firms could enforce pre­dispute arbitration clauses contained in their standard form customer agreements. … More
• Q: What Is Overconcentration?
  A: Ever heard of the phrase "don't put all of your eggs in one basket?" Your advisor should also follow this advice, but when your financial advisor … More
• Q: What Is Churning?
  A: Some stock brokers collect fees on every trade they make on your account.  Generally, a stock broker only makes the trades they think are necessary to meet your … More
• Q: Do I need to hire an attorney to sue my stock broker?
  A: You do not have to hire an attorney to sue a stock broker, you can file a complaint yourself.  However, an attorney will know what the laws and regulations of … More
• Q: What Government Agencies Can I File A Complaint With?
  A: Most states have an agency that regulates stock brokers within the state.  Additionally, most stock brokers and stock purchases are governed by the SEC (the … More
• Q: What Is A Misrepresentation or Omission?
  A: When you deal with a broker you expect them to tell you the honest truth about what you might be investing in.  When a broker misrepresents or omits a material … More
• Q: What is a failure to execute trades?
  A: Usually a broker and a client will talk about the different types of investment strategies that are available to the client.  Based on the clients goals, a … More