Investment Loss Recovery Attorneys
If you are an investor who has suffered losses due to investments and have been victimized by investment misconduct, please contact our offices online, or call 800-732-2889 to schedule your free confidential consultation with investment loss attorney Robert Pearce.
We will help explore your options and recover your losses and restore peace of mind during this difficult time. We represent clients nationwide in all US states.
The investment loss recovery lawyers at The Law Offices of Robert Wayne Pearce, P.A., have helped countless investors over the last 40 years recover the losses from their investment accounts that were caused by broker negligence or misconduct.
The firm has extensive experience with these cases, and Attorney Robert Wayne Pearce is committed to seeing that those responsible for the losses you have suffered are held fully accountable.
How We Can Help if You’ve Suffered Investment Losses
When broker misconduct has caused you to lose substantial value to your investment accounts, you have the right to sue and to seek reimbursement for what’s rightfully yours from the responsible parties via arbitration though FINRA and other legal methods. These cases can be extremely complex, and having the support of a team of reputable and compassionate investment loss attorneys who can work to help obtain repayment of your money ensure that your interests are protected from the start.
LOOKING TO LEARN MORE: Click here for related articles about different types of investment loss recovery.
With over 40 Years of Personal Experience
Investment Loss Cases Our Firm Handles
The investment loss recovery lawyers at our law firm represent wronged investors in all types of stockbroker, commodities broker and investment advisor misconduct cases resulting in financial loss, including:
The investment loss lawyers at the Law Offices of Robert Wayne Pearce, P.A. understands what is at stake in securities, commodities and investment law matters and constantly strives to secure the most favorable possible result. Mr. Pearce provides a complete review of your case and fully explains your legal options. The firm works to ensure that you have all of the information necessary to make a sound decision before any action is taken in your case.
If you have lost money due to negligence or fraud by a stockbroker or advisor, the easiest way to know if you have a case is to call our office. For dedicated representation by a law firm with substantial experience in recovering all kinds of securities, commodities, and investment losses , contact the firm by phone at 561-338-0037, toll free at 800-732-2889 or via e-mail.
At the Law Offices of Robert Wayne Pearce, P.A, we provide investment loss recovery attorney services in all U.S. states:
What is investment loss recovery?
Investment loss recovery is the process of seeking compensation for financial losses caused by misconduct or fraud in the securities industry. It involves legal actions against brokers, advisors, or firms who have breached their fiduciary duty or engaged in fraudulent practices. This can include pursuing claims through arbitration, mediation, or court proceedings to recoup funds lost due to unsuitable investments, misrepresentation, or other forms of securities fraud.
How can an attorney help me recover investment losses?
An experienced securities lawyer can guide you through the complex process of recovering your funds. They’ll assess your case, gather evidence, and determine the best course of action, whether it’s FINRA arbitration or litigation. Your attorney will handle negotiations, represent you in proceedings, and work to maximize your compensation. They’ll also navigate the intricacies of securities laws and regulations to build a strong case on your behalf.
What types of investment losses can be recovered?
Recoverable losses often stem from various forms of misconduct, including unsuitable investment recommendations, unauthorized trading, misrepresentation of risks, ponzi schemes, and broker negligence. Losses from stocks, bonds, mutual funds, options, and other securities may be eligible for recovery. The key is establishing that the loss resulted from a breach of fiduciary duty or fraudulent activity, rather than normal market fluctuations.
Do I have a valid case for investment loss recovery?
To have a valid case, you must demonstrate that your losses resulted from misconduct or negligence, not just poor market performance. Factors that strengthen your case include unauthorized trades, misrepresentation of risks, excessive trading (churning), unsuitable investments given your risk profile, and failure to diversify. An attorney can evaluate your situation, reviewing account statements and communications with your broker to determine if you have grounds for a claim.
What are the most common causes of investment losses?
Common causes include unsuitable investment recommendations, where advisors suggest products misaligned with a client’s risk tolerance or financial goals. Other frequent issues are misrepresentation of investment risks, unauthorized trading, excessive trading (churning) to generate commissions, and failure to diversify portfolios. Market manipulation, ponzi schemes, and insider trading can also lead to significant losses. Sometimes, simple negligence or lack of proper oversight by brokerage firms results in client losses.
How do I know if my investment losses were due to fraud or negligence?
Signs of potential fraud or negligence include unexpected losses inconsistent with market trends, unauthorized transactions in your account, high-pressure sales tactics, or promises of guaranteed returns. If your broker can’t clearly explain your investments or avoids your questions, it may indicate misconduct. Unusual account activity, frequent trading, or investments that don’t align with your stated goals and risk tolerance are also red flags. Keep detailed records and consult a securities attorney for a professional evaluation.
What is securities fraud?
Securities fraud encompasses a range of deceptive practices in the financial markets. It includes misrepresentation of material facts about investments, manipulation of market prices, insider trading, and ponzi schemes. Other forms are making false statements in SEC filings, lying to corporate auditors, and failing to disclose important information to investors. Securities fraud can be committed by individuals, corporations, or even government entities, and it undermines the integrity of financial markets.
What is the duty of fair dealing in investment cases?
The duty of fair dealing is a fundamental principle in the securities industry. It requires brokers and financial advisors to act in their clients’ best interests, providing honest and complete information about investments. This duty includes recommending suitable investments, disclosing all material risks and potential conflicts of interest, and executing trades promptly and effectively. Violations of this duty can form the basis for investment loss recovery claims.
How long do I have to file a claim for investment loss recovery?
The time limit for filing a claim, known as the statute of limitations, varies depending on the nature of the claim and the jurisdiction. For FINRA arbitration, claims typically must be filed within six years of the event giving rise to the dispute. However, some states have different time limits for securities fraud cases. It’s crucial to consult with an attorney as soon as you suspect misconduct, as waiting too long may bar you from seeking recovery.
What is the process for recovering investment losses through legal action?
The process typically begins with a consultation with a securities attorney who will review your case. If there’s merit, they’ll gather evidence, including account statements and communications with your broker. The next step is often filing a claim through FINRA arbitration, where a panel will hear your case. Alternatively, some cases may go to court. Your attorney will present evidence, possibly call expert witnesses, and argue your case. The process concludes with a decision or settlement, hopefully resulting in the recovery of your losses.
How does FINRA arbitration work for investment loss cases?
FINRA arbitration is a formal process for resolving disputes between investors and securities firms. It begins with filing a statement of claim detailing your losses and the alleged misconduct. The respondent (usually the brokerage firm) then files an answer. FINRA appoints one or three arbitrators to hear the case. Both sides present evidence and arguments in a hearing, which is less formal than a court trial. The arbitrators then make a binding decision. This process is generally faster and less expensive than going to court.
How long does the FINRA arbitration process typically take?
The FINRA arbitration process usually takes about 12-18 months from filing to decision. However, this can vary depending on the complexity of the case, the number of parties involved, and the arbitrators’ schedules. Some simpler cases might be resolved in less time, while more complex disputes could take longer. Factors that can extend the timeline include discovery disputes, motions, and scheduling conflicts. Your attorney can give you a more precise estimate based on your specific situation.
How much does it cost to hire an investment loss recovery attorney?
Many securities attorneys work on a contingency fee basis, meaning they only get paid if you recover money. Typically, this fee is a percentage of the recovery, often around 30-40%. Some lawyers may charge an hourly rate or a combination of hourly and contingency fees. Additional costs may include filing fees, expert witness fees, and other case-related expenses. It’s important to discuss fee structures upfront with your attorney to understand the potential costs involved in pursuing your claim.
What percentage of my losses can I expect to recover?
The recovery percentage varies widely depending on the specifics of each case. Factors influencing recovery include the strength of evidence, the amount of loss, the financial stability of the respondent, and the skill of your attorney. Some cases result in full recovery of losses plus interest, while others might recover a smaller percentage. In some instances, punitive damages may be awarded. It’s important to have realistic expectations, which your attorney can help set based on the details of your case.
What documents do I need to provide for my investment loss case?
Key documents include account statements, trade confirmations, and any correspondence with your broker or advisor. You should also provide your initial account opening documents, investment objectives, and risk tolerance questionnaires. Any marketing materials or prospectuses for the investments in question are helpful. Additionally, gather any notes from conversations with your broker, financial plans they provided, and records of your complaints or concerns. The more comprehensive your documentation, the stronger your case can be.
Can I recover losses from my broker or financial advisor’s misconduct?
Yes, you can potentially recover losses resulting from your broker or advisor’s misconduct. This includes situations where they made unsuitable recommendations, engaged in unauthorized trading, misrepresented investment risks, or failed to diversify your portfolio adequately. You may have a claim if they breached their fiduciary duty or violated industry regulations. Recovery can be sought from the individual broker or advisor, but more commonly from the brokerage firm or financial institution they work for.
What are the red flags of investment fraud I should be aware of?
Key warning signs include promises of guaranteed high returns with little or no risk, pressure to make quick decisions, unsolicited investment offers, and complex strategies that can’t be easily explained. Be wary of advisors who discourage questions or independent research, or who claim to have “inside information.” Unusual account activity, frequent trading, or investments that don’t align with your goals are also concerning. If your account statements show unexpected losses or don’t arrive regularly, these could be red flags of fraudulent activity.
How can I protect myself from future investment losses?
To safeguard your investments, start by thoroughly researching any potential investment and the background of your financial advisor. Regularly review your account statements and ask questions about any transactions you don’t understand. Diversify your portfolio to spread risk and avoid putting all your eggs in one basket. Be skeptical of promises of high returns with low risk. Stay informed about market trends and economic conditions. Consider seeking a second opinion on major investment decisions. Remember, if an opportunity sounds too good to be true, it probably is.
What is churning and how does it affect my investments?
Churning is the unethical practice of excessive trading in a client’s account by a broker to generate more commissions. This over-trading often doesn’t align with the client’s investment objectives and can result in significant losses due to unnecessary transaction costs and potential tax implications. Churning can deplete your account value over time, even in a rising market. It’s a violation of the broker’s fiduciary duty and can be grounds for an investment loss recovery claim due to churning.
Can I recover losses from unsuitable investment recommendations?
Yes, you may be able to recover losses resulting from unsuitable investment recommendations. Brokers and advisors have a duty to recommend investments that align with your financial situation, risk tolerance, and investment objectives. If they’ve suggested investments that are clearly inappropriate for your circumstances, leading to losses, you may have grounds for a claim. Recovery can be sought through FINRA arbitration or other legal means, depending on the specifics of your case.
How do I choose the right investment loss recovery attorney for my case?
Look for an attorney with specific experience in securities law and a track record of successful investment loss recovery cases. Consider their expertise in FINRA arbitration and relevant areas of securities fraud. Check their credentials, read client reviews, and ask about their approach to handling cases similar to yours. A good attorney should be able to explain complex legal concepts clearly and set realistic expectations. Don’t hesitate to interview multiple attorneys to find one you’re comfortable working with and who understands your unique situation.
How can I check a stockbroker’s or investment advisor’s credentials?
You can verify a broker’s credentials through FINRA’s BrokerCheck tool, available on their website. This free service provides information about a broker’s professional background, including registrations, licenses, and any disciplinary actions. For investment advisors, use the SEC’s Investment Adviser Public Disclosure (IAPD) website. These resources offer valuable insights into an individual’s qualifications and any past misconduct. It’s wise to conduct this research before engaging with a new financial professional or if you have concerns about your current advisor.
What should I do if I can’t get the information I need about my investments?
If you’re struggling to obtain necessary information about your investments, start by formally requesting the details in writing from your broker or advisor. If they’re unresponsive or evasive, escalate your concerns to their supervisor or the firm’s compliance department. Document all your attempts to obtain information. If you still can’t get satisfactory answers, consider reaching out to FINRA or the SEC for guidance. This lack of transparency could be a red flag, and consulting with a securities attorney may be advisable to protect your interests.
Hear From Our Clients
At The Law Offices of Robert Wayne Pearce, P.A., we believe the ultimate barometer of our success is surpassing the expectation of our clients.
The following clients have direct knowledge of our firm's processes from the inside and experienced our fierce advocacy.