Can you sue a financial advisor for bad advice?

Yes, you can sue your financial advisor. If you lost money on investments due to either a financial advisor’s advice or their failure to comply with FINRA’s rules & regulations, you have the right to file an arbitration claim to seek financial compensation.

What constitutes a finra complaint?

(b) For purposes of this Rule, “customer complaint” means any grievance by a customer or any person authorized to act on behalf of the customer involving the activities of the member or a person associated with the member in connection with the solicitation or execution of any transaction or the disposition of …

Are financial advisors liable?

California law holds financial advisors to a high standard of conduct. If they breach this duty, they may be liable to their clients for any losses, even if the harmful conduct was not intentional. This is known as broker negligence.

Are conversations with financial advisors confidential?

Financial Planning Client Confidentiality Unlike lawyers, financial advisors do not have an attorney-client privilege. This means that what is discussed between a lawyer and their client may be kept private. For the most part, everything discussed with our clients must be kept confidential.

Are financial advisors regulated?

All SIIAP companies are authorised and regulated by the Financial Conduct Authority ( FCA ) and adhere to a strict ‘Code of Conduct’. Companies regularly demonstrate their willingness to provide the highest levels of advice, service and support.

What is an exempt reporting adviser?

Exempt Reporting Advisers (“ERAs”) are investment advisers that are not required to register as an adviser with the U.S. Securities Exchange Commission (“SEC”) or state regulators, but must still pay fees and report public information via the IARD/FINRA system.

Are Financial Advisors honest?

An advisor who believes in having a long-term relationship with you—and not merely a series of commission-generating transactions—can be considered trustworthy.