Over Concentration – Securities Claims

One of the most common forms of investment fraud resulting in successful securities claims is over-concentration in a particular investment or market sector. It is a broker’s responsibility to properly handle a client’s portfolio by diversifying investments among various investment vehicles and market sectors. For example, it would be inappropriate to concentrate a conservative client’s portfolio in just oil and gas investments as there would be no protection in the event this one market sector were to decline in value. Diversifying your portfolio ensures that you are not at risk of significant losses due to one poor investment. If your portfolio has declined in value due to a lack of diversification, your broker may be at fault.

If you, or somebody you know has lost money in an investment due to broker misconduct, please contact the securities attorneys at Ludin Law to learn how we can help you recover you investment.