New York Investment Advisor Attorneys
An investment advisor is a professional who renders investment advice to individual investors for a fee. Investment advisors generally have discretion over client accounts to invest without approval from the client for trades and, as a result, have a fiduciary duty to act in the best interest of their clients. At Lax & Neville, LLP, we represent individual investors who have been defrauded by investment advisors and who have suffered financial losses as a result of fraud or negligent advising. We also represent Investment Advisors who have been sued by their Investors.
Our firm has extensive experience in representing investors who have been harmed by investment advisor misconduct, including negligence and stock manipulation. Contact us today for a free consultation.
Investment advisors sometimes breach this fiduciary duty and/or violate legal and ethical responsibilities to their clients.
Investment advisor misconduct includes:
- Failure to diversify: Failing to sufficiently diversify a client’s account among asset classes and inside asset classes to meet a client’s objectives and risk tolerances and to control risk and avoid excessive loss.
- Misrepresentation & omissions: Misrepresenting or omitting the characteristics of certain investments or overall account characteristics (such as risk profile) to the clients.
- Suitability: Recommending investments or overall accounts that are not suitable for a particular client's objectives, needs and risk tolerances taking into account the client’s age, family situation and financial assets.
- Stock manipulation: Manipulating stock prices for personal or corporate gain in violation of state and federal law.
- Variable annuities fraud: Including recommending unsuitable annuities to increase the broker's commissions, not completely explaining the long-term investment characteristics of annuities, or failing to completely advise investors about the associated risks.
- Criminal or fraudulent activity: Including investments or trades made away from the firm that the advisor is employed with, theft, forgery or embezzlement.
- Negligence: Failing to meet the proper standard of care with regard to the account.
Investment advisor misconduct and arbitration agreements
In many investment advisory cases, clients have signed arbitration agreements that require private arbitration, frequently at the American Arbitration Association (AAA). The partners of Lax & Neville, LLP, have litigated and achieved millions of dollars of recovery for clients at AAA arbitrations.
Contact Lax & Neville, LLP, for a free consultation with an experienced securities and employment litigation lawyer. Serving clients nationwide in securities, employment and investment law. Located on the corner of 39th Street & Broadway, New York, NY.
