Your investment portfolio is used by your stockbroker when working to make suitable investment recommendations and financial transactions. However, when your stockbroker fails to keep your investment portfolio diversified, you can suffer incredible stock losses.
Below, we discuss when you can bring a claim against your broker for lack of diversification and how you can obtain repayment for your losses.
What Is Considered a Lack of Portfolio Diversification?
Keeping your investment portfolio diverse is critical to your financial success as an investor. By making suitable investments in several different stocks, assets, bonds, and other investments, you should be able to reduce your investment risk and start to make a profit.
A stockbroker who continues to invest your money in few opportunities increases your risk, while your broker may be profiting from the transactions they are making through your accounts. Individuals who have been wronged by a lack of portfolio diversification often suffer considerable stock losses due to these irresponsible actions.
Recovering Your Investment Losses
If you’ve been the victim of an untrustworthy stockbroker, you can fight for the repayment you deserve by initiating a FINRA arbitration claim. Here, you’ll be requesting a hearing before a panel of arbitrators who have the power to compel your irresponsible stockbroker to compensate you for their misconduct.
Understanding the arbitration process and financial markets can be confusing, which is why you’ll want an experienced stock loss attorney to represent your case as you prepare to fight for what you’re owed.
Get in Touch with a Lack of Diversification Lawyer
When you need help establishing stockbroker negligence due to a lack of portfolio diversification, reach out to a qualified lack of diversification lawyer at Meissner Associates. We can be reached by phone at 212-764-3100 or through the confidential contact form to the right so you can schedule your free case assessment at your earliest convenience.