Stock Fraud Lawyer
If you are a victim of stock fraud, you may be able to hold your broker or brokerage firm accountable. Get help pursuing legal action by contacting an experienced stock fraud attorney.
Investors take risks every time they invest in financial markets, but the risk should never lie with your stockbroker or financial planning institution. You should always be able to trust that your broker is putting your financial interests first. Sadly, it is all too common for broker-dealers to engage in fraud that often results in considerable stock losses to the investor.
If this sounds like what you’re going through, you’re not alone. At Wolper Law Firm, we have represented countless victims of stockbroker fraud, negligence, and misconduct. If you have lost significant funds, your qualified stock fraud lawyer may be able to recover your losses in Financial Industry Regulatory Authority (FINRA) arbitration.
Read on to learn more about the most common types of stock broker fraud in the U.S. and how FINRA arbitration works.
Most Common Types of Stock Fraud in the U.S.
Losing money on the stock market is common, but your losses shouldn’t be caused by fraud or negligence. When you suffer significant stock losses due to misconduct, negligence, or stock fraud, you may be entitled to financial compensation. Some of the most common ways that stockbrokers engage in fraud include:
- Making unsuitable investment recommendations
- Unauthorized trading
- Lack of diversification
- Failure to supervise
- Misrepresentation or omission
- Failure to due their due diligence
But stockbroker negligence isn’t the only type of stock fraud an investor can lose money from. Some of the most frequently seen types of schemes investors lose money on include:
- Investment fraud
- High-yield investment fraud
- Accounting fraud
- Hedge-fund fraud
- Late-day trading
- Ponzi and pyramid schemes
- Foregin currency fraud
- Advance fee schemes
FINRA Arbitration for Stock Fraud
In order to be awarded compensation for the losses you endured due to stock fraud, you will need to initiate a FINRA arbitration complaint. FINRA is responsible for overseeing the misconduct of stockbrokers, financial advisors, and broker firms.
Once a complaint has been initiated, FINRA will determine whether a hearing should be granted. If a hearing is granted, the arbitration panel will be selected and a hearing date set.
At the FINRA arbitration hearing, both you and the respondent have the chance to plead your case and present financial documents, witnesses, and other relevant evidence. Once both parties have argued their case, the arbitrators will then review the case in further detail to determine whether the respondent must compensate you.
Reach Out to a Stock Fraud Attorney
If you are interested in holding your stockbroker accountable for your losses in FINRA arbitration, get in touch with a highly respected stock fraud lawyer at Wolper Law Firm for help with your claim. Schedule a confidential case review by filling out the quick contact form below or calling us 800.931.8452 so we can learn more about the details of your stock losses.