Auction Rate Securities Fraud Lawyer

ARS Issues: Breach of Fiduciary Duties

One of the claims that you may make during the arbitration process is the breach of fiduciary duty on the part of your broker. Fiduciary duty refers to the legal relationship that you have with your broker and their responsibility to protect your investments. When you agree to allow a broker to manage your investments, you place your trust, confidence, reliance, and faith in that person to provide you with honest advice, assistance, and protection during the duration of your professional relationship.

Your broker, or fiduciary, is held to certain standards of loyalty to your professional relationship and is expected to never place his or her personal gain before their duty to your investments. Your broker is also expected to be honest with you about your investments and provide you with trustworthy financial guidance.

Unfortunately, many brokers committed a breach of their fiduciary duty as they continued to sell auction-rate securities (ARS) in a failing market. Many brokers misrepresented the liquidity of these investments, representing them as cash equivalents despite the weakening market.

If your broker has committed a breach of fiduciary duty, it is in your best interest to contact an auction-rate securities fraud lawyer immediately. A skilled ARS lawyer will be able to evaluate your case and guide you through the complicated arbitration process.

For more information about auction-rate securities and breach of fiduciary duty, contact the auction-rate securities fraud lawyers of Williams Kherkher today by calling 800-220-9341.