Complicated investments are not against the law. But a broker still has to understand what they are selling, explain it honestly, and recommend it only to the investors it actually fits.
Most investors can name the investment that cost them money. It is right there on the statement. What is much harder to tell is whether the loss came from ordinary market risk or from how the investment was sold in the first place.
This page explains the products and strategies we see most often in investor claims. Each one is described in plain language — what it is, why it can go wrong, and what may be worth a closer look.
These are the investments we see most often in investor claims. None of them is improper on its own. What matters is whether it was suitable for you, and whether you were told the truth about it.
"I was told it had protection against losses, and then it didn't."
A note issued by a bank whose return depends on a formula tied to a stock, an index, or a basket of them — often sold on the strength of its downside protection.
Learn More"It wasn't publicly traded, and now I can't get my money out."
Investments sold outside the public markets, usually with limited disclosure and no straightforward way to sell when you want to.
Learn More"I was told it paid steady income and was safer than the stock market."
Real estate funds that do not trade on an exchange. Frequently sold for their income, they can be difficult to value and difficult to exit.
Learn More"I was sold a fund that lends money to companies, and now I'm stuck in it."
Business development companies lend to private businesses and are often sold for their yield. Like non-traded REITs, they can be hard to sell and hard to price.
Learn More"I was moved into an annuity and never understood the fees or the surrender charges."
Insurance contracts with investments held inside them. They carry layered fees and surrender charges that can lock money up for years.
Learn More"I was sold a life insurance policy as a retirement plan."
Life insurance tied to the performance of an index, sometimes presented as a savings or retirement strategy rather than as insurance.
Learn More"I signed a note promising a fixed return, and then the payments stopped."
A written promise to repay money with interest. They appear regularly in schemes where payments continue until, one day, they do not.
Learn More"The same trust kept getting rolled into a new one."
A fixed basket of securities with a set end date. Rolling one UIT into the next, again and again, can generate a new sales charge every time.
Learn More"My broker had me in small companies I had never heard of."
Shares of very small companies. They trade thinly, move sharply, and are more open to manipulation than larger stocks.
Learn More"I was put in a share class that cost more than it should have."
The same fund can be sold in different share classes with very different costs — and investors are not always placed in the one they qualified for.
Learn More"I thought bonds were the safe part of my portfolio."
Bonds are often treated as the conservative side of an account. Credit quality, interest rate moves, and concentration can still cause real losses.
Learn MoreThe investment is the starting point, not the claim itself. The claim comes from what the broker or firm did around it — what they recommended, what they said, what they left out, and what their firm allowed to happen.
See all investor claims we handle
Most of these matters are resolved through FINRA arbitration rather than a traditional court case, though some belong in court. We will explain which path fits your situation, and we handle the process so you do not have to navigate it alone.
Not every investor loss comes from a product. Sometimes it comes from how an account was traded or how it was borrowed against.
"There were options trades in my account I did not understand or approve."
Contracts to buy or sell at a set price. Some options strategies carry losses that run well beyond the amount originally invested.
Learn More"I was borrowing against my own account and did not realize it."
Borrowing from the brokerage firm to buy more investments. Margin magnifies losses and can force holdings to be sold at the worst possible moment.
Learn More"I took a line of credit against my investments, and then they were sold out from under me."
A line of credit secured by your investment account. If the account value falls, the firm can sell your holdings to cover the loan.
Learn MoreDon’t see your situation described here?
Request a free case review — we may still be able to help
The investments described here are sold legally every day, and for some investors they are a reasonable fit. Being in one of them is not, by itself, the basis for a claim.
What usually matters is how the investment came to be in your account. Was the risk explained in terms you could actually follow? Did the recommendation fit your age, your income, and how long you had to recover from a loss? Were the fees, the lock-up period, and the worst-case outcome ever put in front of you? Did one investment or one strategy end up holding far more of your savings than it should have?
Markets rise and fall, and not every loss is the basis for a claim. If a description on this page sounds like your experience, it may be worth having an attorney look at the details.
Most investor claims are resolved through FINRA arbitration rather than a traditional court case, though some matters belong in court. We will explain which path fits your situation — and we handle the process so you do not have to navigate it alone.
Looking for practical next steps? These resources may help.
You do not need to know whether what happened to you has a legal name. Tell us what you were sold and what you were told about it, and we will tell you honestly whether we think there is something worth pursuing. The consultation is free, and you owe us nothing unless we recover money for you.
