Money lost with a broker or adviser · securities arbitration

You trusted someone with your savings, and the money is gone

The statement arrives and the number is a fraction of what it was. Your broker had called it safe, or said it would pay steady income, or bought it without asking you at all. When you call, the explanation is the market, and you're left wondering whether that is the whole story.

Markets go down, and a loss by itself isn't a claim. But brokers and investment advisers have to follow rules about what they recommend, how they trade and what they tell you, and when they break those rules the loss can be theirs to answer for. Tell us what happened.

Tell us what happened

This may be for you if

My broker put me into investments that were far riskier than I asked for or could afford.
Trades were made in my account that I never approved.
My account was traded so often that commissions ate into it, and I didn't understand why.
Most of my savings ended up in one stock, one fund or one kind of product.
I was sold an investment, a private deal or a note that turned out to be nothing like what I was told.
An older relative's account was handled in a way that doesn't look right.

What we do, and what we do not

We do

A lawyer at our firm looks at your case and at whether the losses point to a problem with the advice or the handling of the account, not only to a falling market.
Investment disputes are usually heard in arbitration, a private hearing in place of a court. When another firm is better placed to lead your case day to day, we choose that firm for you, from firms we have vetted for their expertise and track record, and we stay responsible for your case with them.

We do not

We don't give investment advice or tell you what to do with your remaining money.
We don't promise a recovery or estimate what your claim is worth.

Two firms on your side, for the cost of one

When another firm leads your case, you have two law firms on your side, and it costs you no more than one firm would. The firm leading it day to day is one that regularly brings claims against brokerage firms in arbitration, and it's your first call for questions about the case. Our firm stays responsible for your case with them for as long as it lasts: we check in often, keep our own calendar of its deadlines, and we're who you write to if something doesn't feel right.

You decide whether to go ahead, and nothing happens until you say yes.

How it works, step by step How fees work, and how they are shared

Problems we often hear about

Bad advice or trading by a broker
Recommendations that didn't fit you, trades you didn't approve, excessive trading and too much in one place.
Investments that were not what you were told
Misleading sales pitches, private deals that collapsed, and schemes that paid early investors with later investors' money.

What helps to have ready

Account statements from before the losses began through today.
The account opening papers, including anything describing your goals and how much risk you would accept.
Trade confirmations for the investments you're concerned about.
Emails, texts, letters or notes of conversations with the broker or adviser.
Any marketing material, brochure or offering document you were given.
The name of the broker or adviser and the firm they worked for.
Any complaint you have already made to the firm, and its reply.

What to have ready before you talk to a lawyer
A short, practical list you can use for any kind of problem.

Questions people ask

Isn't a loss just the risk of investing?

Sometimes, yes. A loss in a portfolio that fit your goals is usually just the market. A loss in one that never fit them may be something else.

I signed an agreement that says disputes go to arbitration. Does that stop me?

No. It usually decides where the claim is heard, not whether you can bring one. Arbitration is a private hearing in front of one or more neutral decision-makers called arbitrators instead of a judge and jury. Most disputes with brokerage firms go to arbitration run by FINRA, the industry's self-regulatory organization.

Can I look up my broker's history?

Yes. FINRA's BrokerCheck and the SEC's Investment Adviser Public Disclosure site show registration, work history and many past complaints and disciplinary actions.

Isn't my account protected by SIPC?

SIPC protection is about a brokerage firm that fails with customer assets missing. It doesn't cover losses from investments that went down in value, even bad ones. That is what a claim against the broker or firm is for.

Credit, debt collectors and scams
If the problem was a bank, lender or payment company rather than a broker or adviser.
Mistakes by your accountant
If an accountant or tax preparer's advice was part of the loss.
Money an executor, trustee or relative took
If the money was in a trust or estate and the person in charge mishandled it.

This page explains things in general terms. It is not legal advice about your situation, and the law differs from state to state.