Investigation of Brokerage Firms Pushing Alexander Read Option Trading Strategies Expanded by Attorney Neal Blaher and Vernon Healy Law Firm
Copyright: | 2011 GlobeNewswire, Inc. |
Source: | GlobeNewswire |
Wordcount: | 487 |
Securities attorneys at
The investigation by the two law firms has uncovered that full service brokerage firms like Wachovia, now known as Wells Fargo, promoted and recommended Alexander Read.
"We believe multiple brokerage firms are liable to investors for their reckless or negligent due diligence process – or complete lack of due diligence – in vetting and improperly including Alexander Read as an approved hedge fund or money manager for its client base," Blaher said.
Alexander Read held itself out as a financial planning firm to capitalize on the securities industry's increasing reliance on so-called independent portfolio managers. In the wake of the scandals of the past decade,
"We believe that clients with little or no experience in options, as well as clients for whom option trading was unsuitable, were thrown into the high risk world of option trading by their trusted brokerage firms through the recommendation of Alexander Read," said
Investors' rights attorney Blaher adds: "When 2008 brought the fall of the securities markets, the option trading of Alexander Read exposed clients to far greater losses than those suffered by investors whose portfolios had been suitably and properly managed."
Before the collapse of 2008, Alexander Read created a hedge fund that had options trading as its sole function. By trading options within a hedge fund shell, Alexander Read's specific transactions were obscured from the eyes of the firm's clients.
"More and more high net worth families and institutions are re-evaluating the opacity of hedge funds as we've seen major frauds perpetrated against wealthy investors in recent years," Vernon said.
The securities attorneys at the Neal J. Blaher and
CONTACT:Christopher Vernon Vernon Healy law firm (239) 649-5390 www.wealthmanagerattorney.comwww.vernonhealy.com
Source: Vernon Healy Attorneys at Law
Insurance Veteran Expands Businessolver Westward
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News