Posted on: 21 September 2020
When you select someone to serve as your broker, you have certain expectations. Those expectations include the idea that your broker will invest with his or her clients' best interests in mind and will steer you clear of shady investments or other potential trouble. But what happens when that turns out not to be the case? If you've lost money because of poor decisions or a lapse in ethics on the part of your broker, you might have a legal case on your hands. A securities law attorney may be able to help you recoup some of the money that was lost. Here are some of the situations or scenarios where having a securities law attorney could be beneficial.
It's Clear the Broker Pitched Something Just to Enrich Themselves
When a broker suggests an investment, they are supposed to have your financial goals in mind. But in the financial industry, some brokers are given a bonus or commission when they get people to invest in a certain fund or investment. Now, if the broker sincerely believes that this is still a good match for your personal needs, then that's fine. But if you find out later that the broker pitched you on a garbage fund because they stood to get a large commission, that's not OK at all. A securities law attorney may be able to take a look at the situation and suggest the next steps.
Your Broker Failed to Disclose All Available Information
Another way a broker can do you a disservice is if they are pitching a certain financial product but deliberately withhold important information. Maybe they tried to get you to ignore the fine print or didn't show it to you at all. If there are outrageous fees or other payments that will be deducted from your investment, you may be able to push back against this if you can prove you were never fully informed.
Your broker could also be harming you if they know that a company they are pitching is under investigation or has other negative matters that might soon affect the stock price but didn't disclose the info to you because they were more interested in just closing the deal.
The Broker Isn't Who They Say They Are and Makes You a Victim of Fraud
Hopefully, you'll do your own research before hiring a broker, but sometimes people can be good at making themselves to be something they are not. If you get into a financial investment on someone else's advice and it's clear that the broker or person in question had no business taking your money and making an investment on your behalf, you might be the victim of fraud. A securities law attorney can help you fight back and possibly recoup some of the money involved, as well as helping you to alert the proper authorities to hold the person criminally responsible if applicable.
For more information, reach out to a company like Carter West Law.Share