Did You Ask Your Financial Advisor for Safe Investments, But Instead Your Investment Advisor Put You in a Bad Investment??????

Have you ever gone to your financial advisor and told them that you are looking to invest in safer investments like bonds, CDs or treasuries, but instead your investment advisor convinces you to invest in other investment products like an annuity, life insurance, mutual funds created by your financial advisor’s brokerage firm, or some other alternative investment (i.e. private placements, hedge funds, real estate investment trusts (REITs), tenancy in commons (TICs)).  Often, what your financial advisor is not telling you is that they get paid more money if they push their clients into investments that generate more money for their brokerage firm than lower risk investments like bonds, CDs or treasuries.

There is a misconception that you go to financial advisors for financial advice, but in reality, most financial advisors are only going to advise you to invest in the specific products that they are selling. They can be like used car salesmen in that they can only sell you what is on their car lot.  For instance, if you seek financial advice from a financial advisor who works for a brokerage firm, the financial advisor isn’t going to advise you to buy rental property and become a landlord.  The financial advisor makes no money if they steer clients in that direction.  While that is probably obvious to you, what you might not know is that often there are investment products like CDs or treasuries that your financial advisor is not allowed to sell to you.  The brokerage firm may not allow the financial advisor that you are working with to sell those products.  The financial advisor isn’t going to tell you that because they need to sell the products that they are authorized to sell to increase their compensation.  So instead, the financial advisor is going to try to convince you that the safe investment that you’re asking about is a bad idea and that your money should be in something different.

Often the investment that the financial advisor is recommending is riskier but generates higher returns for the brokerage firm and higher commissions or compensation for the financial advisor. Whenever you meet with a financial advisor, investment advisor or stockbroker, know that they probably are not presenting you with all your financial options, so take any advice they give with a grain of salt. There is probably something in it for them, and the investment that they are recommending to you may not actually be in your best interest.

If you think your financial advisor may have ignored your request to be in a particular investment and instead steered you to an investment where you lost money, we urge you to contact our office to see if you have a claim for damages.  

Most lawsuits against financial advisors, investment advisors or brokerage firms must be brought in FINRA or AAA arbitrations.  The attorneys at Epperson & Greenidge have extensive experience within FINRA and AAA arbitrations as well as litigating in state and federal court.  We specialize in bringing these claims on behalf of investors.  We also have specific experience representing clients who have lost money due to bad advice from financial advisors or financial advisors mismanaging their clients’ investments.  We accept cases on a contingency basis: we only get paid if you collect money.  Time to file your claim may be limited, so call 877-445-9261 now to speak to an attorney for a free consultation or send an inquiry to us directly here.