FREE Stock Broker Fraud Lawyer Question and Answers

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When your broker commits fraud, you have the right to bring them to justice by filing a complaint with the:

Correct! Wrong!

Explanation:
Investors need to be able to trust their stockbrokers and financial consultants, but when a broker commits fraud, their reckless actions often result in significant stock losses. By registering a complaint with the Financial Industry Regulatory Authority, you have the right to hold your stockbroker accountable when they wrong you for their own benefit (FINRA).

What is the organization that oversees the conduct of registered stockbrokers and brokerage firms?

Correct! Wrong!

Explanation:
The body that regulates the behavior of licensed stockbrokers and brokerage houses is called FINRA. You will have the opportunity to hold your stockbroker responsible for their behavior if FINRA agrees to consider your case in arbitration. You might be able to get back some or all of the losses you endured, and you might even get paid more for the effect the loss has had on your life.

What kinds of stockbroker fraud are usually committed?

Correct! Wrong!

Explanation:
Excessive trading is typically done to increase the commissions a broker receives for each deal.
Without permission, a client's portfolio cannot be given away or liquidated.
Investments that are not appropriate, like making speculative trades for a client who is getting close to retirement

Which of the following is NOT a duty of an investment advisor?

Correct! Wrong!

Correct answer:
Making accurate predictions about the future of the stock market

Which organization regulates stockbroker and brokerage firm conduct?

Correct! Wrong!

Explanation:
Despite the fact that the Securities and Exchange Commission (SEC) and Financial Industry Regulatory Authority (FINRA) in the United States both regulate stockbrokers' and brokerage firms' conduct, many financial institutions still expect brokers to use any means necessary to boost profits, including dishonesty or fraud.

If you are accused of stockbroker fraud, you may _____.

Correct! Wrong!

Explanation:
You may only have a certain amount of time to launch a lawsuit if you are charged with stockbroker fraud. Depending on the situation, you could occasionally have to waive your ability to file a lawsuit within the statutory time frame. Before you may bring a lawsuit, you might also need to make a claim with the Financial Industry Regulatory Authority (FINRA).

You will need an attorney with extensive experience in which law if you think your stockbroker has committed stock broker fraud?

Correct! Wrong!

Explanation:
The body of laws and rules that control the issue of securities is known as securities law (also known as capital markets law). A security is a type of financial instrument typically used to attract capital from investors in a company. Securities legislation specifies what must be done for a corporation to make its investment available to the general public.

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