May 21, 2024

Stockbroker Malpractice Lawyer

Losing money on the stock market is a risk that comes with any investment, but when your broker has engaged in misconduct, a stockbroker malpractice attorney may be able to help you recover your losses.

The securities markets are often complex, and potential investors need to be able to trust their brokerage firms and stockbrokers to have their best interests in mind when handling their investment portfolios. However, the stock market is notorious for negligent and fraudulent brokers who are able to rip off their investors until they’ve endured significant losses.

Fortunately, this type of misconduct is against the law, and you can seek repayment for your stock loss through a Financial Industry Regulatory Authority (FINRA) arbitration claim. Your stockbroker malpractice lawyer at Meissner Associates will have the experience you need to fight for the compensation you’re entitled to. We’ll do everything possible to hold your negligent broker accountable for their actions.

Types of Broker Fraud

One of the reasons why stockbrokers are able to get away with fraud is because there are so many different ways that investors can be defrauded. We have gone over a few of the most frequently seen types of stockbroker misconduct below.

Making Unsuitable Recommendations

The duty of fair dealing clearly states that stockbrokers are required to always prioritize their clients’ best interests. When an investor knowingly makes trades that don’t match up with your goals by making inappropriate trades that increase their own profits, for example, they’ll have made an unsuitable recommendation.


As your stockbroker, one of their primary responsibilities is to make suitable investment recommendations. A broker could mislead you about a potential investment opportunity, perhaps by deceiving you about the financial outlook of the investment, in order to increase their own profits.

If we discover that you lost out on your expected returns and more, we’ll bring them to justice when we file your FINRA arbitration claim.


If you notice an increase in the number of transactions in your accounts, and you’ve slowly seen a reduction in the amount of your returns, it’s quite possible that your broker has been trading your accounts in excess. This allows them to make money every time a transaction is made, regardless of how much you get out of the trade.

Thankfully, excessive trading, also referred to as churning, is fairly easy to prove, as there is always a paper trail in your investment portfolio. When we see four or more transactions in a year, we’ll have reason to believe your accounts have been churned.

Contact a Respected Stockbroker Misconduct Attorney

For assistance in filing your FINRA arbitration request and preparing for your hearing, get in touch with a seasoned stockbroker malpractice lawyer at Meissner Associates. When you’ve suffered stock losses that meet or exceed $100,000, you’ll want an attorney on your side who will fight for the indemnity that you’re entitled to.

You can schedule a free consultation today by contacting our office by phone at 212-764-3100 or submitting the online contact form we have included at the bottom of this page.