Carol Liston, Liston Associates, Inc., or Stock Purse Trading, LLC

If you invested with Carol Liston, Liston Associates, Inc., or Stock Purse Trading, LLC, you may be the victim of a multimillion-dollar Ponzi scheme.

The Securities and Exchange Commission (SEC), the federal agency responsible for regulating securities markets, has filed claims against Liston, Liston Associates, and Stock Purse Trading for violations of federal securities laws. According to the SEC’s complaint filed August 20, 2025, Liston raised approximately $5.7 million from more than 200 investors to fund her purported stock trading activities. Liston promised outsized returns of 5 to 20 percent per month by pooling investors’ money in brokerage accounts and investment funds she managed. Despite her promises, Liston experienced large trading losses and very little of the money she raised was ever invested. According to the SEC, Liston instead used investor funds to pay her personal expenses. The SEC alleges Liston concealed her fraud by providing investors with fictitious account summaries and using new investor funds to pay “distributions” to older investors. Federal regulators are seeking injunctive relief, civil money penalties, and disgorgement of all ill-gotten gains by Liston, Liston Associates, and Stock Purse Trading.

Ponzi schemes often leave little left over to compensate their victims. But legal action may still help you to recover compensation from third parties such as brokerage firms, financial advisors, or custodians. Our firm works to identify all sources of recovery. If you invested with Carol Liston, Liston Associates, or Stock Purse Trading, contact us today to see if you have a legal claim to recover your investment losses.