Security and Investment Fraud

Security and Investment Fraud Lawsuit and How Greensburg Security and Investment Fraud Lawyer Can Help

When you trust a financial institution with your hard-earned money, you expect both safety and growth. Transparency is key because you need to be informed about your investments and future. Unfortunately, some dishonest stockbrokers and investment advisors exploit this trust, causing significant financial losses. These can stem from unsuitable advice, conflicts of interest, or outright fraud. If you or your loved ones fall victim to security and investment fraud, seeking help from a skilled Greensburg criminal lawyer is essential.

At Logue Law Group, we have years of experience handling investment and banking fraud cases. Our dedicated team of Greensburg DUI lawyers works tirelessly to help you recover your lost money.

Different Types of Security and Investment Fraud

Investment fraud involves various kinds of broker misconduct that can drain your savings and retirement income. Here are some examples:

Bond Frauds

Bonds are debt instruments used by companies and governments to raise capital. While often portrayed as safe for fixed-income investors, fraudulent schemes can wipe out your entire portfolio. Even during economic downturns, countless individuals have been left financially devastated by these scams.

Breach of Fiduciary Duty

Brokers act as intermediaries between buyers and sellers, without personal interests. Whether they are real estate brokers, commodity brokers, security brokers, insurance brokers, or mortgage brokers, they must guide parties toward informed decisions. Neglecting these fiduciary duties leads to fraud. If you’re a victim, our Greensburg criminal lawyer can help you recover your losses.

Churning and Excessive Trading

Excessive trading pushed by your broker jeopardizes your account and undermines your financial well-being. This fraudulent maneuver shouldn’t be tolerated.

Failure to Supervise

Investment Logue Law Groups must establish and maintain strict rules for supervising their financial advisors and brokers. These brokers should regularly review your portfolio and align trades with your investment goals and risk tolerance. Negligence leading to financial losses is fraud.

Investment Fraud and Misconduct

Trusting your brokers with your money is crucial. Sadly, some prioritize their own interests, leading to various schemes such as:

• Non-traded real estate investment trusts: Lack liquidity, tying up your funds for a long time.
• High-risk junk bonds: Significant default risks put your money at risk.
• Ponzi schemes: Depend on new investors’ money to pay existing ones, creating an unsustainable cycle.
• Structured notes: Often involve complex terms and hidden risks.
• Unsuitable variable annuities: Elderly investors may be pressured into these, misaligning with their financial goals.

Margin Trading

A fraudulent advisor might suggest buying stocks using borrowed money, known as margin trading. This high-risk strategy benefits the broker through hefty commissions without needing additional investments from you, potentially causing significant financial harm.

Omissions or Misrepresentation by the Broker

Brokers have a duty to explain every aspect of an investment, including terms, clauses, and risks. Failing to disclose these details can constitute fraud, leading to investor losses.

Overconcentration of Assets

Diversification is key to mitigating risk and maximizing returns. Responsible brokers consider factors like age, risk tolerance, and financial status. Ignoring these and concentrating assets in limited investments can be fraudulent activity.

Preferred Securities

During market crises, preferred securities may act like common stocks and not provide anticipated income. Unlike common stocks, they miss upward price appreciation while being exposed to potential declines, failing to generate expected value.

REIT Issues

Real Estate Investment Trusts (REITs) tie assets and investments to real estate projects, distributing 90% of returns as dividends annually. Investing in a REIT offers access to a property portfolio. Negligence in delivering promised returns may require consulting a Greensburg DUI lawyer for monetary recovery.

Selling Away

Fraud occurs when a broker sells or solicits unapproved private securities. Both the organization and the investor can hold the broker accountable.

Unauthorized Trading

Unauthorized trading involves a broker using a non-discretionary investment account without proper permission. This fraudulent activity may include churning, aimed at generating higher commissions for the broker.

Variable Annuity Issues

While presented as sound retirement plans, variable annuities pose significant risks for elderly investors due to high annual costs exceeding 3% and penalties for early liquidation.

Seek Help From Greensburg Security and Investment Fraud Lawyer

At Logue Law Group, our experienced Greensburg criminal lawyers handle investment fraud cases with most expertise and diligence, ensuring financial recovery. Contact us  844.PITT.DUI today for a complimentary consultation.