FINRA, the Financial Industry Regulatory Authority, has issued a recent Investor Alert regarding the need for investors to carefully examine all proposed investments to ensure that they satisfy their risk tolerance and meet their investment objectives.
The alert makes the case that with the current investment climate, there is a tendency by investors to pursue riskier investments with the hope that they will be able to maximise their return. More often than not investors are exposing their portfolios to increasing levels of risk when they pursue greater returns. Frequently investors are not informed of these increased risks or, worse yet, are told that the investments are perfectly safe. The first the investor actually learns of the risks associated with a particular investment is often after they have already lost a considerable amount of their principal.
Investors are cautioned to carefully and completely exam any investment ideas or proposals that are brought to them. Do not hesitate to investigate the representations made by the broker or investment professional to ensure that the proposed investment meets your personal goals and objectives.
The full test of the Investor Alert can be found here.
If you have suffered significant losses after being misled by a financial sales agent or stock broker, an attorney at Penzien & McBride, PLLC would be happy to review your situation to determine if there is a way to recover some or all of your investment. Contact the firm at (586) 690-4400 to schedule a consultation to review your situation.