Whether you are new to the investment world or have been investing for some time, you should be able to trust your stockbroker. But what do you do when you suffer investment losses that don’t make sense? You know investing comes with risk, but you suspect that your broker is at fault for your losses. Now what?
You may be entitled to full restitution for your stock losses. A dedicated Miami stockbroker fraud lawyer at Wolper Law Firm could help you through the arbitration process and ensure you are fully repaid.
Continue reading to learn more about some of the more common types of stockbroker fraud we see in Miami and how FINRA arbitration works.
Common Types of Stockrobker Fraud in Miami
Shady stockbrokers in Miami are often able to get away with defrauding their investors because there are so many different ways to do it. Sometimes it isn’t until an investor suffers massive losses (an excess of $100,000) that the investor will take notice and start to try to figure out what went wrong.
Some of the more common types of stockbroker fraud and negligence include:
- Lack of portfolio diversification
- Selling away
- Making unsuitable recommendations
- Failure to supervise
- Excessive trading (churning)
- Unauthorized trading
- Breach of fiduciary duty
These are just a few examples of stockbrokermisconduct and fraud. If your broker is responsible for your losses in another way, you may still be entitled to full repayment. You can find out what your legal options are when you contact our office.
FINRA Arbitration for Investment Losses
There are a couple of different ways that you can seek recovery from your investment losses. But the path many wronged investors choose is arbitration with the Financial Industry Regulatory Authority (FINRA). FINRA arbitration is similar to court but it has several added benefits.
First, FINRA arbitration proceedings are often resolved far more quickly than court proceedings would be. Many investors can expect to get a decision within eighteen months of the start of their case. A trial could take years.
With that said, FINRA arbitration decisions cannot be appealed. Again, once a decision is made, you can’t file an appeal. However, this is partly what makes FINRA arbitration so time-efficient.
Furthermore, if the decision comes down in your favor, the arbitrators will order that you be repaid within thirty days of the decision. If you had gone to court, your case could have been tied up for years before an appeal was even possible. And it could be even longer before you see any money, if ever.
Get Help from a Stockbroker Fraud Lawyer in Miami
If you have endured substantial stock losses due to the negligent or reckless conduct of your stockbroker or financial advisor, you may have the right to full restitution.
An aggressive stockbroker fraud lawyer at Wolper Law Firm could guide you through this often-complex process. Call our office at 800.931.8452 or complete our quick contact form to schedule your free, no-obligation consultation.