I own quality stocks yet my investments have plummeted in value. Can I recover those losses?

All investments must be suitable for the investor in light of age, liquidity needs, risk tolerance, investment objectives and all market conditions. Moreover, the risks and features of an investment must be adequately explained, including what could happen in a down market such as what we are experiencing with the Coronavirus.

Quality stock losses thus can be recovered if those stocks were not suitable, the risks were not adequately explained, or if any of the following occurred:

  • Those stocks were bought using margin
  • Those stocks were the great majority of the investment portfolio as the portfolio was not "asset allocated" among bonds, cash and other investments, which must be done for all investors and especially for retired investors.
  • Those stocks were "concentrated" into one or a few sectors, such as energy stocks (oil and gas) or technology
  • Those stocks were bought alongside options

If you or someone you know incurred losses with quality stocks and any of the above happened, we recommend contacting us for a no-charge consultation. Most investors file claims in FINRA arbitration to recover their losses, and most claims are brought on a "contingency fee" basis.

 

Categorized in: Covid FAQs

Related Questions

View More Answers

TESTIMONIALS

Previous
Next

Thank you for your professional assistance with this matter. You are very good at what you do.

John T.

LATEST NEWS AND ARTICLES

April 25, 2024
B. Riley Financial Clears Air Amid Allegations, Stock Surges

Amidst swirling speculation regarding its connections with a client linked to the Prophecy Asset Management collapse, B. Riley Financial Inc. has conducted an internal
review, concluding no affiliations with the defunct hedge fund.

April 24, 2024
RIA Insurance Claims Skyrocket

A recent analysis by Golsan Scruggs reveals a staggering 231 percent increase in errors-and-omissions (E&O) liability claims among registered investment advisor (RIA)
insurers.

April 23, 2024
Surge Predicted in Regulation Best Interest Cases

According to a recent analysis, Reg BI-related actions quickly have ascended to the top five issues for FINRA, with fines totaling $6 million in 2023.