Unsuitable Investment Claims

As an investor, it is often difficult to determine whether you have been a victim of unsuitable investments or securities fraud, which is why our New York unsuitable investment lawyers carefully review your case with you in a free consultation, no strings attached.

Many instances of securities fraud go undetected. Most investors will not even consider the possibility of misconduct until they are faced with the loss of their investment. Because the market naturally fluctuates, not every loss means you have been the victim of fraud. However, unless you had aggressive and speculative objectives, significant losses should spark your concern and prompt you to undertake a further investigation. It may be difficult or nearly impossible to detect fraud unless you consult seasoned New York unsuitable investment lawyers who know what constitutes suspicious activity. Listed below are just a few warning signs for securities or investment fraud:

• Your broker does not return your phone calls.
• The transactions on your statements do not make sense to you.
• Your account statements include transactions you did not authorize.
• You find unidentifiable debits or credits on monthly account statements.
• You see a dramatic drop in value of stock in a short period of time.
• The market is “up”, but you are losing money.
• The majority of investments recommended by the broker are declining in value.
• Your broker tells you to view market news as entertainment.
• Your broker fails to disclose important information regarding an investment purchase.
• Your broker begins trading in high risk and speculative investments.
• You are paying capital gains taxes, despite the fact that your account value is decreasing.
• Financial results are markedly different from publicly announced expectations.

These warnings signs do not necessarily mean you are a victim of fraud, but there are other rules that may also protect you, such as those pertaining to sustainability. However, if you experience any of these red flags, it is in your best interest to immediately seek the advice of an unsuitable investment attorney in New York with experience in handling investment and securities fraud matters.

Ms. Malecki is a member of and has been on the Board of Directors of the Public Investors Arbitration Bar Association (“PIABA”). She was the Vice-President on the Board of Directors of the PIABA Foundation. She has commented on FINRA rules as part of that group and the Board. See her comments here.

Click here to read about Typical Investor Claims

In addition to meeting know your customer obligations, per newly adopted SEC regulation known as Regulation Best Interest (“Regulation BI”), all brokers and broker-dealers (as well as all financial advisors) must act with their customers best interests in mind. This broker-dealer and broker standard of conduct was introduced by the SEC back in April of 2018 as part of a larger overall plan that, once implemented, would clarify and advance the duties and responsibilities of brokers and broker-dealers to their clients. All brokers and broker-dealers were required to be in compliance with the new regulations and standards as of June 30, 2020. That said, it may take some time before we see the effects of the newly implemented regulations, especially when it comes to filed cases.

For more information explicitly defining the legal parameters of unsuitability and/or Regulation best interest, seek the aid of an unsuitable investment lawyer in New York at Malecki Law, and consult the following FINRA rules and regulations:

• FAQs regarding FINRA Rules for Non-Equity Securities Trading and Customer Suitability

You have rights as an investor. You may be entitled to recover the investment money you lost as a result of broker or company misconduct. If you note any suspicious activity and feel you have been wronged, contact an attorney with experience in securities and investment fraud.