Securities Lawyer Serving San Diego

Investing your money wisely is a good way to plan for the future, and a trusted financial advisor can help you devise your strategy and recommend the appropriate investment portfolio. But sometimes, the advisor you depend on makes decisions that hurt instead of help. 

If you suffered financial losses of over $100,000 due to the misconduct of a stockbroker or financial advisor, you may be unsure about what to do next. Our securities lawyers serving San Diego can help you hold your former advisor accountable for their actions. 

At Meyer Wilson, our California securities lawyers have helped our team recover over $350 million for our clients since 1999. Contact us today to schedule a free consultation and tell us what happened. 

What Should You Do If You Suspect Securities Misconduct?

If you believe your advisor engaged in illegal behavior and caused you to lose money, it is important to follow the correct steps. The goal is not only to alert authorities to their actions but also to recover your losses to the greatest extent possible. 

Contact an Attorney

Before you report your advisor, reaching out to an attorney who works with financial cases is an important first step. Our nationwide securities lawyers can evaluate your case, inform you of your rights, and help you with the process. 

Pursue Compensation

Our attorneys will help you file a civil claim against your advisor to begin the process of recovering compensation. Most cases are resolved through FINRA arbitration, not only because it is typically faster and easier than a court trial, but also because all brokerage contracts and most investment advisory agreements require it.

What Damages Can You Recover in a Securities Case?

While every case is different, our securities attorneys working with clients in San Diego will strive to recover maximum compensation. This may include:

• The total value of your lost securities
• Dividends and interest you would have earned
• Penalties you incurred because of your advisor’s misconduct
• Legal costs and attorney fees

In some situations, you could be entitled to punitive damages, often called exemplary damages in California. According to California Civil Code Section 3294, punitive damages may be awarded in cases where a defendant acted with oppression, fraud, or malice.

Punitive damages are intended to punish the defendant and prevent them from acting similarly in the future. Your securities attorney serving San Diego can advise you on whether they are appropriate to pursue in your case. 

What Is Breach of Fiduciary Duty?

Breach of fiduciary duty occurs when a person in a position of trust, such as an investment advisor, fails to act in the best interests of someone they are legally or ethically obligated to serve, such as you, their client. However, not all financial advisors have a fiduciary duty to their clients. 

Your advisor most definitely does a fiduciary duty to you if they are a Registered Investment Advisor. That means your advisor must avoid misconduct such as conflicts of interest and self-dealing, and they must put your interest ahead of theirs. 

When they commit such misdeeds, it can lead to legal action and liability.

Types of Financial Advisor Misconduct

Unscrupulous financial professionals have devised all kinds of ways to take advantage of the system, and they will likely think of additional ways in the future. Here are some of the common types of broker misconduct we see. 

• Ponzi Schemes: Using money from new investors to pay returns to earlier investors, creating the illusion of a successful investment. In reality, there are no legitimate profits. 
• Cherry Picking: Allocating the most profitable trades or investments to favored accounts while giving less favorable ones
• Overconcentration: Placing an unreasonably large portion of a client’s portfolio into a single security or asset class, increasing risk. Often, this benefits the advisor through commissions or incentives.
• Lack of Supervision: Occurs when a firm fails to properly monitor or oversee the actions of its brokers or advisors, allowing misconduct or negligence to go unchecked.
• Churning: Excessive trading in a client’s account primarily to generate commissions for the broker or advisor, not to benefit the client’s investment strategy.
• Unsuitable Investments: Recommending or placing a client in investments that do not align with their financial goals or risk tolerance, thereby violating regulatory standards and fiduciary responsibility.
• Unauthorized Trading: Executing trades in a client’s account without their prior consent or authorization, which is a violation of trust and industry regulations.
• Misrepresentation: Misleading a client by providing false information or omitting key facts, leading them to make decisions they wouldn’t have made if properly informed.
• Failure to Execute: When an advisor neglects or refuses to carry out a client’s instructions, potentially causing financial loss or missed opportunities.
• Margin Abuse: Encouraging or allowing a client to trade on margin without fully disclosing the risks, often to increase assets under management or commission revenue

If you believe an advisor involved your money in one of the illegal and unethical schemes listed above or any other, it is important that you reach out and speak with an attorney immediately. 

Get Help from a Securities Attorney Serving San Diego

It is devastating when someone betrays your trust, especially when that person has access to your finances. Your advisor was supposed to help you create a better future, but thanks to their misconduct, you may be concerned about what that future holds. 

Our securities lawyers serving San Diego can help you fight to hold them accountable and recover your losses and damages through civil litigation or arbitration. We can investigate your case, help you file complaints, and assist you in seeking restitution. 

The team at Meyer Wilson has over 75 years of combined experience. Contact us today for a free consultation and find out how we can help you recover what you’ve lost.