Learn about how to protect your rights as an investor.
The Charles Schwab Corporation was founded in 1971. Originally, the company was named First Commander Corporation. Two years into its existence, the company changed its name to the one it currently has: the Charles Schwab Corporation. This name came from the founder and principle stockholder of the company at the time, Charles R. Schwab.
Kyros Law Offices represents investors that have suffered losses due to broker misconduct. Beyond helping investors recover from investment losses, Kyros Law Offices also tries to warn investors of potential harm before it occurs. One area for potential investment losses involves bond fund investments. Here are five reasons why investors should think twice about owning bond funds:
1. Interest rate risk
2. Credit risk
3. Redemption risk
4. Ongoing management fees
5. Uncertainty regarding what bonds or debt the fund owns.
If you have suffered losses of $100,000 or more in your bond fund investments, please call one of our securities attorneys to discuss your rights. 1-800-934-2921
Learn about the signs to watch for if your stockbroker is defrauding you.
Stockbroker Fraud: Are You A Victim?
Stockbroker fraud is more common than you think. It's one of the main reasons small investors lose money in financial markets. While most brokers are honest and hardworking, you should always pay close attention to what your broker is doing and to how that impacts your investments. Unfortunately, many victims of stockbroker fraud aren't aware of it until after they've lost a lot of money.
Common Symptoms Of Stockbroker Fraud
2. Inappropriate or Unsuitable Investments: Brokers are required to make investments that reflect the incomes, risk factors, and financial goals of their clients. If your broker has pressured you to make risky purchases, failed to advise you about risk, withheld or given misleading information, pushed you to make major changes in your portfolio, suggested stocks that are rapidly losing value, or asked you to invest more than you can afford, it could all mean fraud.
3. Illegal Activities: Has your broker encouraged you to buy stock based on "insider information," or claimed that an investment is a "sure thing?" Has your broker tried to sell you "hot issues" like IPO stocks prior to the release date? Have you been sold nonexistent stocks? Has your broker encouraged you to give false information on an investment application? Have you been asked to transfer funds into a broker's personal account, or has your broker withdrawn money from your account without prior consent?
4. Operating With No License: All brokers, investment advisers, and brokerage firms must be registered to sell securities and licensed according to federal and state regulations.
5. Not Following Orders: A broker is bound by law to execute all your orders right away. If a stockbroker delays following orders, refuses to follow orders, or doesn't follow orders at all, it's fraudulent.
6. Unauthorized Trading: A broker cannot cannot trade stocks or purchase financial products without your prior consent. The only exceptions to this rule occur when you've: (1) given your broker discretionary authority over your account, or (2) provided expressed, detailed permission. If your brokerage statements show unfamiliar transactions, unauthorized trading may have occurred.
7. Churning: This happens when a broker makes excessive trades on your account with the same stock or a certain group of stocks This can constitute fraud even if you've provided discretionary authority. An excess of trades, especially those that do nothing for your bottom line, might indicate that your broker is making trades on your account just to earn more commission. A broker might also switch excessively between mutual funds only to generate extra commission.
If you are concerned about whether a stockbroker has acted against your interests, you should contact our securities fraud attorneys immediately to investigate the matter. Our attorneys will review your portfolio free of charge, and we can advise you about your options. If there's evidence of stockbroker fraud, we can help you build a strong case that may recover your losses.
Did your stockbroker commit fraud?
We will fight to help you get your money back. If you have lost over $100,000 due to stockbroker fraud, contact us to protect your rights. Complete the form on this page or call 1-800-934-2921 for a free no obligation consultation with a lawyer. We work on a contingency basis, so rest assured that there will never be an out of pocket expense to you.