Cold Spring Advisory Group

Cold Spring Advisory Group Educates Investors on Broker Misconduct


New York, NY -- (ReleaseWire) -- 03/20/2017 --It's scary to think that many investors and hard-working individuals become victims of investment mismanagement and stock broker abuse every day. In fact, according to the Financial Industry Regulatory Authority (FINRA), there were 785 cases involving fraud and insider trading that were prosecuted in 2016. These cases totaled over $204.2 million in fines and restitution for victims.

Broker abuse and misconduct can occur in many forms, including churning, excessive trading, fraudulent misrepresentations and omissions, unsuitable recommendations and many more. Furthermore, broker abuse and misconduct may involve stocks, bonds, notes or even real estate that ultimately result in serious financial losses and damages for investors.

However, partnering with a reputable and professional consulting firm can help investors with their reports, cases, and claims as well as educate them on what to look for in order to prevent and recognize signs of broker abuse and broker misconduct.

About Cold Spring Advisory Group
Cold Spring Advisory Group is a professional and experienced consulting firm in good standing. Cold Spring Advisory Group specializes in stock market recovery and investment loss for clients and investors. Although the Cold Spring Advisory Group team is based in New York, NY, the firm has helped clients all over the country with their cases and claims.

In some severe cases, investor financial damages totaled over $200,000. The Cold Spring Advisory Group has successfully represented these clients and investors with serious financial damages and losses and helped them pursue the correct legal action and response in order seek a proper settlement and restitution for their losses.

About Broker Abuse and Misconduct
Through the years, Cold Spring Advisory Group has seen hundreds of reports, claims, and cases involving various types of broker abuse and misconduct. The most common forms of broker abuse include the following:

Civil Theft of Funds or Securities

Although any and every form of broker abuse and misconduct can be detrimental for any client or investor, one of the worst forms of broker abuse include civil theft. This type of misconduct is when a broker directly steals money from an investor's account to use for his or her own capital gain. This action mostly occurs in the form of a broker recommending a non-existent security and keeps the purchase price and also when a broker transfers money from an investor's account to another account without permission.


Another form of broker abuse is churning, which is when a broker engages in excessive trading resulting in excessive and large commissions for the investor to pay and without any significant positive financial impact for the investor. Churning is against the Securities Exchange Commission (SEC) and typically results in significant financial losses for the investor.

Fraudulent Misrepresentations and Omissions

Although misrepresentations and omissions differ, they can both result in financial loss. A misrepresentation occurs when a broker makes a false statement regarding an investor's account or portfolio. An omission is when a broker fails to provide important information to an investor.

All in all, both misrepresentations and omissions are considered fraudulent since they relate to an action that an investor would or would not have taken based on the advice provided to him or her by a broker. In other words, brokers who engage in this type of abuse and misconduct purposefully lead investors astray from making investment decisions that benefit the investor and not the broker.

The Cold Spring Advisory Group has over 25 years of experience in securities arbitration. The team also has an excellent track record of representing investors and individuals with their reports and claims of broker abuse and misconduct through the process of thorough professional case analysis and preparation.


If you have suffered a loss or believe your finances have been mismanaged in any way, then contact the experienced team of experts at Cold Spring Advisory Group today as you may be entitled to legal action and/ or arbitration. You can also learn more about the Cold Spring Advisory Group process here.

Call the team at Cold Spring Advisory Group at 212-566-6060 to schedule a free consultation.