Auction-Rate Securities Lawyers
Understanding Broker Fraud
The relationship between an investor and broker is one that should be built on trust and honesty. Every investor has should have reasonable expectations for their investments and be able to trust that their broker has their best interests in mind when making decisions that will effect the growth or movement of the investments.
The auction-rate securities fraud that is currently being investigated by state and federal agencies has begun to shed light on the broker misconduct that occurred in many trusted brokerages. Several big-name institutions, such as Stanley Morgan and Citigroup, have been found to have misrepresented the risk involved in auction-rate securities, causing many investors to lose a great deal of money when the market locked up in February 2008.
Arbitration
Investors have the right to file for arbitration in order to be compensated for their loss. Common charges that can be brought against brokers include, but are not limited to:
- Breach of Fiduciary Duty
- Negligence
- Breach of Contract
- Failure to Supervise
- Misrepresentation
Speaking with a skilled auction-rate securities lawyer is the first step in receiving compensation for the misconduct of your broker. While you may have trusted your broker, his or her fraudulent actions may be the cause of the financial hardships you may be experiencing due to the failure of auction-rate securities. A knowledgeable auction-rate securities lawyer will evaluate your case and help you navigate the arbitration process.
Call 800-220-9341 to schedule your initial consultation with an
auction-rate securities lawyer today.