Envision entrusting your life savings to a financial advisor for smart, personalized financial strategies, only to discover your money has vanished into unsuitable investments. That’s what investors are grappling with in the case against Lawrence Greenfield, a former advisor with respected firms ARETE Wealth Management, LLC and LPL Financial LLC (CRD 6413). A serious misstep with ‘alternative investments’ in 2017 has led to one investor seeking an eye-popping $950,000 in damages.
Breaking Down the Allegation & Understanding FINRA Rule 2111
I can’t stress enough the importance of FINRA Rule 2111. This rule ensures financial advisors and their firms offer investment strategies that fit the customer’s unique financial goals and risk tolerance. Think of it as a financial advisor’s commitment to aligning advice with everything you’ve confided about your financial aspirations.
What’s the crux of the allegation against Greenfield? It’s claimed he made investment recommendations that were mismatched with the client’s financial situation and willingness to take risks.
The Importance of This Case to Every Investor
For investors, this particular case is more than just news; it’s a significant reminder to keep a close watch on your investments and insist they reflect your unique financial goals and risk appetite.
Your financial future is in the hands of your advisor, which means there’s no room for indifference. Embrace a proactive stance: ask difficult questions, track your investments regularly, and don’t shy away from seeking a second opinion. These actions can safeguard your financial legacy.
Spotting Trouble and Recovering Losses
However, it’s not just about being careful—it’s also about knowing which warning signs could indicate trouble, such as unusual trading activity, unexpected advice without your request, frequent changes in account managers, or substantial drops in account value.
If you have the slightest suspicion of foul play, it’s crucial to act swiftly and secure legal support. The investment fraud law firm Haselkorn & Thiebaut, spanning from Florida to Arizona, is investigating this case. With an impressive 98% success rate and more than half a century of delivering justice for investors through FINRA Arbitration, they’re formidable advocates.
Don’t think litigation suits your needs? Consider FINRA Arbitration. It’s an expedited, less formal route for reclaiming losses incurred due to investment fraud or malpractice. Haselkorn & Thiebaut offer their services on a ‘No Recovery, No Fee’ premise, coupled with complimentary initial consultations. You can contact them at 1-800-856-3352.
To protect your investments, remain alert and informed. Never hesitate to question or take action if something seems off. As the famous quote goes, “An investment in knowledge pays the best interest.” – Benjamin Franklin. Ensuring a secure and profitable investment environment is a collective effort.
Did you know? According to a study from the Securities Exchange Commission, roughly 5% of households with assets of $100,000 or more fell victim to financial advisor misconduct. The study also found that misconduct is more common in firms with “prior records of misconduct.” Make sure to check your advisor’s background, including their FINRA BrokerCheck record, before investing.
Remember, the power is in your hands to maintain a sound investment journey. Be vigilant, stay curiously engaged with your financial affairs, and always seek competent counsel when red flags arise. Together, we can strive for a trustworthy and effective investment landscape.
For further details on Lawrence Greenfield’s investigation, please visit the investment fraud case overview.
