Question: My broker invested my money in a stock I had never heard of and we had never discussed. Unfortunately, I did not immediately confront him, and the stock plummeted. I assume that because I did not immediately contest the trade, I am out of luck financially. But how do I lodge a complaint?Answer:
First, contact the broker and the broker’s manager. If that doesn’t yield results, contact the compliance officer at the brokerage firm. The firm may reverse the trade and discipline the broker.
You can also submit a complaint to Finra, which regulates brokers. Finra may investigate the complaint and could take disciplinary action against the brokerage firm or broker, and you may be able to get your money back through arbitration or mediation (see www.finra.org/investors). You can also file a complaint with the Securities and Exchange Commission. The firm could reverse the trade or make a settlement offer. Customer disputes and disciplinary actions will appear on the broker’s or adviser’s record through Finra or the SEC.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
-
Want to Earn $1 Million More Over Your Lifetime? Do ThisIt's simple: Go to college or a trade school. It's an investment that will pay huge dividends for the rest of your life. And the benefits go far beyond money.
-
What Impact Does Politics Have on Insurance?Some governors choose their state's insurance commissioner, while other states elect theirs, and that person has power over insurance issues, including rates.
-
It’s Not Too Late to Boost Retirement Savings for 2018retirement Some retirement accounts will accept contributions for 2018 up until the April tax deadline.
-
Making the Most of a Health Savings Account Once You Turn Age 65
Making Your Money Last You’ll face a stiff penalty and taxes if you tap your health savings account for non-medical expenses before the age of 65. After that, the rules change.
-
Using a 529 Plan for High School
529 Plans You’re now able to withdraw up to $10,000 tax-free from a 529 plan each year for K-12 tuition.
-
Reporting Charitable IRA Distributions on Tax Returns Can Be Confusing
IRAs Taxpayers need to be careful when reporting charitable gifts from their IRA on their tax returns, or they may end up overpaying Uncle Sam.
-
Ex-Workers Get More Time to Repay 401(k) Loans401(k)s If you leave your job while you have an outstanding 401(k) loan, Uncle Sam now gives you extra time to repay it -- thanks to the new tax law.
-
The 11 Most Valuable Personal-Finance Lessons of 2018
Financial Planning How to reduce taxes and medical bills, help the next generation save for retirement and protect against identity theft were some of the issues on readers’ minds in 2018.
-
Financial Gifts for Kidsspending Invest in a child’s future with gifts of stock or contributions to a Roth IRA or college savings.
-
The Rules for Making a Tax-Free Donation from an IRA
IRAs Making tax-free gifts to charity from an IRA is gaining in popularity among older investors, thanks to changes under the new tax law. Here’s what you need to know to make a qualified charitable distribution.
