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Home > Blog > Investor Complaints Against Financial Advisers Climb To New Levels

Investor Complaints Against Financial Advisers Climb To New Levels

October 5th, 2009

Breach of fiduciary duty. Misallocated portfolios. Misrepresentation. In a nod to the growing dissatisfaction felt by investors over the actions - or inactions - of their financial advisers and stock brokers, new arbitration cases filed with the Financial Industry Regulatory Authority (FINRA) soared 65%, to 4,991, through August 2009, after climbing to 3,018 for the same period last year. The latest figures put new filings with FINRA on track to hit 7,000 by year end, up from 4,982 in 2008.

“I don’t anticipate it slowing down this year or next,” said Linda Fienberg, president of dispute resolution for FINRA, in a July 14, 2009, story appearing in the Washington Post. Fienberg added that more investors are prevailing in their cases this year than they had in the past.

The No. 1 complaint in investors’ claims through August 2009 is breach of fiduciary duty, followed closely by misrepresentation.

This entry was posted on Monday, October 5th, 2009 at 6:00 am and is filed under Investor Beware, Stockbroker Misconduct. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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