Stockbroker Wrongdoing / Stockbroker Fraud FAQs

Are you concerned that your stockbroker has been overtrading, or has caused you to loose your retirement investments. Here’s some of the most frequently asked questions we get with respect for possible stock broke fraud.

What if my account has lost more than 25% of its value?

Large losses in your account may be a sign that you broker may have been motivated by commissions or other improper reasons and made investment decisions that are not appropriate for you. This is known as wrong investment advice. You may also be able to recover some or all of your stock losses.

Is your stockbroker overtrading?

One of the most common examples of stock broker misconduct is when the broker overtrades your account in order to get commissions. This kind of stock broker misconduct is often called churning.

Churning or overtrading occurs when, to obtain commissions, your broker causes stocks or other investments in your account to be traded with a frequency too great in light of your financial needs, resources, or investment objectives.

Is your stockbroker guilty of unauthorized trading?

One of the most serious kinds of stockbroker misconduct is unauthorized trading. Stock brokers and other financial advisors have a duty to get your permission to buy or sell stock before they invest your money. They also have an obligation to follow your instructions regarding when and at what price they need to buy or sell stocks on your behalf.


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2018-08-20T00:44:13+00:00 Stockbroker Wrongdoing|