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HSBC Latest Among Big Brokerage Firms to Pay for Securities Fraud

August 31, 2017 Blog

A recent article from Investment News exposes the sad case of an elderly blind man who lost approximately $200,000 when he mistakenly placed his trust in a seemingly-friendly broker employed by HSBC Securities. Over a several-year period, the broker purchased two New York apartments for himself using the elderly man’s funds, while reportedly misrepresenting that the man was signing papers to purchase the apartments in his own name.

This case emphasizes two issues that we have highlighted recently: the increasing risk of senior investment fraud and financial exploitation, and the unfortunate truth that even investors who trust their funds to big-name financial institutions are not necessarily safe from fraud. If you are thinking about investing and have concerns about fraud, or if you believe that you or a senior loved one may have lost money in a scam, these resources will help you make informed decisions about protecting your family’s financial stability:

Resources for Investors Concerned about Brokerage or Advisory Firm Fraud

1. What Does It Take for FINRA to Bar an Investment Advisor?

The Financial Industry Regulatory Authority (FINRA) shares responsibility for overseeing the domestic securities market in the United States, and it has the authority to assess sanctions against brokers and brokerage firms that defraud individual investors. Learn about some of the most-common examples of broker fraud and the steps you can take if you suspect misconduct in: What Does It Take for FINRA to Bar an Investment Advisor?

2. Investment Advisors and Advisory Firms Facing Disciplinary Action from FINRA

FINRA’s disciplinary actions are available online, and reviewing more than 20 years’ worth of fraud and misconduct shows just how often investors fall victim to fraudulent brokerage firms both large and small. We highlighted some of FINRA’s most noteworthy recent disciplinary actions in: Investment Advisors and Advisory Firms Facing Disciplinary Action from FINRA.

3. New FINRA Rule Seeks to Enhance Protections for Senior Investors

Earlier this year, FINRA adopted a new rule designed to help protect senior investors from broker and investment advisor fraud. Learn about what these firms now can (and must) do to protect senior investors in: New FINRA Rule Seeks to Enhance Protections for Senior Investors.

4. 6 Signs of an Investment Scam

Investment scams targeting seniors are a type of “affinity fraud” that have been around for years. Learn more about affinity fraud and other risk factors for investment scams in: 6 Signs of an Investment Scam.

5. 6 Key Facts About Securities Arbitration

If you or a senior loved one has suffered fraudulent investment losses, seeking to recover those losses may involve pursuing a claim through FINRA arbitration. We provide an overview of the FINRA arbitration process in: 6 Key Facts About Securities Arbitration.

Of course, in times of uncertainty, there is no substitute for qualified professional advice. At Zamansky LLC, we bring decades of experience to representing individual investors, and we have helped countless clients across the country recover their losses from broker fraud and investment advisor misconduct. For legal advice tailored to your unique personal circumstances, please call or click to schedule a free consultation today.

Schedule a Free Investment Fraud Consultation at Zamansky LLC

If you are concerned about investment fraud and would like to speak with an attorney, please contact our offices to arrange a free consultation. You can call us nationwide at (212) 742-1414, or send us your information online and we will respond as soon as possible.