When your brokerage firm is responsible for the investment losses you suffered, you may be wondering what legal options you have to get your money back and hold them accountable for their negligence or misconduct.
Fortunately, the Financial Industry Regulatory Authority (FINRA) is prepared to hear cases involving brokerage firms who are liable for their client’s losses. Continue reading to learn more about when you might file an arbitration complaint against your brokerage firm and what you can expect from the FINRA arbitration process.
When You Might File a Complaint Against Your Brokerage Firm
The key to being able to get your money back after suffering a considerable investment loss is being able to prove to the FINRA arbitrators that the brokerage firm is directly or indirectly responsible for the losses you suffered.
Remember, the brokerage firm is also responsible for the actions of their financial advisors, so any misconduct or negligence on their part means you can pursue compensation from the firm, as well. Some of the most common reasons to pursue a FINRA arbitration complaint against your brokerage firm include:
- Failure to supervise
- Portfolio mismanagement
- Lack of diversification
- Selling away
- Unsuitable recommendations
- Unauthorized trading
- Churning
- Misrepresentation
- Omission
What to Expect from the FINRA Arbitration Process
The FINRA arbitration process is fairly similar to what you would expect in a court hearing. You will present your evidence against the brokerage firm and they will also provide evidence to support their case and refute your claims.
From there, the arbitrators will review the evidence and determine whether the broker-dealer should be ordered to compensate you for your investment losses. The entire process from start to finish can be completed in as little as eighteen months, which makes it a attractive option for investors who need their money back as soon as possible.
Get Help from a Stock Loss Lawyer
To learn more about initiating a FINRA arbitration complaint against your brokerage firm seeking full restitution for your investment losses, contact a respected stock loss lawyer at Wolper Law Firm, P.A.. You can schedule a free, confidential case evaluation when you give our office a call at 800.931.8452 or complete the quick contact form provided at the bottom of this page.
Attorney Matthew Wolper
Matt Wolper is a trial lawyer who focuses exclusively on securities litigation and arbitration. Mr. Wolper has handled hundreds of securities matters nationwide before the Financial Industry Regulatory Authority (FINRA), American Arbitration Association (“AAA”), JAMS, and in state and federal court. Mr. Wolper has handled and tried cases involving complex financial products and strategies ranging from traditional stocks and bonds to options, margin and other securities-based lending products, closed/open-end mutual funds, structured products, hedge funds, and penny stocks.
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