Author Archives: FLSecurities
Arbitrating an Investor Case vs Suing in Court
An investor who is abused by his or her securities broker cannot sue in court. Instead, the investor must sue the broker or the brokerage firm in arbitration before the Financial Industry Regulatory Authority, otherwise known as “FINRA.” FINRA maintains its own arbitration forum that shares certain features of court litigation, but is also… Read More »
Managing Finances After the Death of a Loved One
How to handle the finances after the death of a loved one. In September 2016, the Florida Office of Financial Regulation issued a Consumer Alert titled “Managing Finances After the Death of a Loved One.” The alert makes a number of helpful recommendations to take following the death of a family member or loved… Read More »
Is Anybody Watching Your Broker?
The financial industry is highly regulated, and for good reason. People entrust their stockbrokers and financial planners with some of the most important decisions in their lives, namely, what to do with their hard earned life savings. Money is important, and especially for the elderly and retired, it cannot always be replaced. If money… Read More »
Life Cycle of a FINRA Claim
Virtually every new account application with any brokerage firm contains a pre-dispute arbitration agreement. This agreement requires that any dispute you have with your stockbroker or brokerage firm be filed with the Financial Industry Regulatory Authority (“FINRA”) instead of being filed in court. The FINRA arbitration process differs from the court system in several… Read More »
Prime Bank = Prime Fraud
Prime Bank Instrument Fraud If you have been approached to invest in “prime bank” instruments, don’t do it! It is a scam. Prime bank scams purportedly involve the trading of prime bank instruments issued or guaranteed by financial institutions such as the World Bank, the International Monetary Fund, or the U.S. Federal Reserve Bank…. Read More »
Check Cashing Scams: Read This Before You Cash That Check
One scam still making the rounds is the fake check scam. The way it generally works is this. You receive an authentic-looking check in the mail that appears to be from a real company. Along with the check, you receive instructions to deposit the check and transfer a portion of the money to someone… Read More »
Fraudulent Sales Practices: Wells Fargo To Pay $185 Million
Illegal sales practices: Wells Fargo To Settle Wells Fargo & Co. has agreed to pay $185 million to settle federal regulators’ investigation for illegal sales practices. The bank acknowledged that it pushed employees to open as many as 2 million accounts without customers’ approval. As a result of the scandal, Wells Fargo said, effective… Read More »
Options 101: The Basics of Trading Stock Options
What Does it Mean to Trade Stock Options? Options are complex investments and can carry substantial risk. Before you decide to trade options, you should understand the basics. Options can be used with a wide range of financial products. This blog will focus on the most vanilla of examples, trading stock options. What are… Read More »
SEC Whistleblowers Receive Over $100 Million in Awards
Over $100 Million in Rewards Given to Whistleblowers The SEC has announced that, as of yesterday, it has made more than $100 million in awards to whistleblowers under the SEC Whistleblower program. Created by Congress as part of the Dodd-Frank Act in 2010, the program has been up and running since August 2011. After… Read More »
Equity Compensation: Not Just for CEOs Anymore
Securities Fraud Lawyer Explains: Equity Compensation is Not Just for CEOs Anymore Equity compensation, also known as a stock award, is a form of non-cash compensation that represents ownership in a company. If the company does well and the value of its stock goes up, the future value of the stock award could be… Read More »