How to Prove Broker Fraud

Have you endured losses in excess of $100,000 on the stock market? Is your stockbroker’s misconduct responsible for this loss? If so, you may have the opportunity to obtain full repayment of your stock loss if you are able to prove broker fraud. 

Working with a knowledgeable stockbroker fraud attorney can make proving misconduct much easier, especially when you’re still trying to figure out how to deal with such a significant loss. Read on to learn more about some common signs of broker misconduct and how we’ll go about seeking the compensation that is rightfully yours. 

Signs of Stockbroker Misconduct

Stockbrokers, financial advisors, and the companies that employ them are often able to get away with misconduct since the financial markets are so complex. 

Sure, you might know you want to invest, and you may even have experience in doing so, but the stock market is always risky, and some brokers have found ways to make unsuitable investments appealing and misinform you about what you’re really getting into. 

If you have noticed any of the following signs, it may be worthwhile to take a hard look at your financial statements and accounts to see what your broker has been doing with your investment:

  • More than four transactions in your accounts (this is considered excessive)
  • Any unauthorized trades
  • Investment recommendations that do not align with your objectives 
  • Low returns in a high-return market
  • Substantial stock market returns or losses

Recovering the Compensation You’re Entitled to 

Thankfully, the Financial Industry Regulatory Authority (FINRA), which oversees the conduct of stockbrokers and financial advisors, affords plenty of opportunity to recover the money you lost out on when you pursue a FINRA arbitration claim against the unscrupulous broker and/or their brokerage firm. 

What’s more, though stockbrokers are often able to commit such fraud without it going noticed until a huge loss is reported, the good news is that within the securities world and financial markets, there is almost always a paper trail. 

We’ll review your financial statements and those of your broker to gather what we need to prove their fraud so you can hopefully be awarded full repayment during your FINRA arbitration hearing. 

Meet with a Qualified Broker Fraud Lawyer

You can learn more about how we’ll fight for the money you’re owed when you come in for your free claim review. Schedule your meeting with an experienced stockbroker fraud lawyer at Meissner Associates by completing the brief contact form we have included at the bottom of this page or by giving our office a call at 212-764-3100.