Mutual Fund Fraud
Florida Mutual Fund Defense
Mutual Fund Frauds are similar to Ponzi Schemes. A Mutual Fund is a collective investment and make it simple to diversify investment portfolios. Individuals pool their money in a mutual fund and receive a return on their investment. In the United States, mutual funds are registered with the Securities and Exchange Commission (SEC) and overseen by a board of trustees and directors. This board must make sure that the mutual fund is properly managed.
What is Mutual Fund Fraud?
Mutual fund fraud occurs when mutual funds set up deceptive operations that encourage people to invest. This is also a form of securities fraud. There are a number of ways in which mutual funds fraud may happen, including:
- When the financial or investment advisor makes recommendations on how to invest to the client while ignoring commission structures and other financial terms of funds.
- When advice on buying and selling of mutual fund shares is given with no regards to the client's investment goals, to generate income for the broker.
- When the risks and costs associated with an investment transaction are not fully disclosed to the client.
- When a stockbroker advises the investor to move its invested funds from one company to another one multiple times within short periods of time to generate fees and commissions to the broker instead of to benefit the investor.
Contact our Orlando Mutual Fund Fraud Defense Lawyer
If you or someone you know has been charged with mutual fund fraud it is critical that you seek the advice of a highly experienced mutual fund defense attorney. At NeJame Law we have two former United States Attorney’s on our criminal defense team who have years of experience litigating in Federal court. We can help! Whether your case will be settled out of court or is going all the way to trial, you do not need to look any further. Help is Here! A strong defense strategy and plan could be the difference between being charged and being convicted. Do not allow yourself to be a victim. Your privacy is important to us and we will keep your information confidential.