If you’re reading this, you might be feeling that uncomfortable pit in your stomach—the one that comes when something doesn’t feel quite right about your financial advisor or investment situation. Maybe your portfolio has taken unexpected losses, or you’ve noticed unclear fees that weren’t adequately explained. Perhaps you’re questioning investment advice that seemed to benefit your advisor more than you.
You’re not alone, and your concerns are valid.
According to research examining financial advisors in the US, approximately 7% have records of misconduct, with about one-third of those being repeat offenders who are five times more likely to engage in new misconduct compared to the average advisor. In 2021, FINRA reported 1,895 new customer cases filed against firms or individuals, with common complaints including breach of fiduciary duty and negligence.
Need help or not sure where to begin. Call Haselkorn & Thibaut at 1-888-885-7162 for your free, no-pressure consultation. We’re here to help.
Investment fraud and bad financial advisor practices affect thousands of people every year across the county. The stress of potentially losing your hard-earned money—or realizing someone you trusted may have betrayed that trust—can feel overwhelming. But there’s hope, and there are steps you can take to protect yourself and potentially recover what you’ve lost.
Common Ways Bad Financial Advisors Harm Their Clients
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Warning signs of a bad financial advisor rarely look like the dramatic schemes you see in movies. More often, they’re subtle patterns that develop gradually through seemingly legitimate relationships. Here in Jupiter and throughout Florida, we see several common patterns that prospective clients and existing clients should watch for:
Frequent buying and selling without justification is a major red flag. Your bad advisor makes trades without your permission or knowledge, often to generate more commissions for themselves rather than acting in your best interests. This churning strategy rarely benefits investors and typically results in excessive fees.
Misleading investment advice is another significant warning sign—when a financial advisor recommends investments that clearly don’t match your risk tolerance or financial goals, especially if those financial products happen to pay them higher commissions.
Consider Sarah, a Jupiter retiree who worked with what she thought was a good financial advisor for three years. She explicitly told him she needed low risk investments to preserve her retirement planning savings. Yet he repeatedly moved her money into high-risk mutual funds that generated substantial commissions for him but resulted in poor investment returns for her. When she questioned the strategy, he provided poor communication and assured her it was “temporary market volatility.” It wasn’t until she sought a second opinion that she realized she’d been the victim of unsuitable products and advice.
Warning signs also include advisors who promise unrealistic promises or claim to have a secret formula for guaranteed returns.
The Warning Signs of a Bad Financial Advisor You Should Never Ignore
If you’re already noticing concerning patterns, here are the key signs of a bad financial advisor that should prompt immediate action:
Unclear fees and hidden fees are red flags. A trustworthy advisor explains exactly how they’re compensated, whether through a flat fee, commission, or other fee structures. Good financial advisors are transparent about all costs associated with their services.
Frequent buying and selling without clear justification. This “churning” generates commissions for advisors but rarely benefits clients or improves financial health.
Poor communication or failure to return calls when you have questions about your investments or their performance. A good advisor should be responsive to client concerns.
Pressure to invest in specific financial products without consideration of your unique financial situation, risk tolerance, or long-term financial goals.
Lack of proper credentials. Good financial advisors typically hold designations like certified financial planner (CFP) or chartered financial analyst (CFA), and work as a registered investment adviser.
The most important thing to remember? Fiduciary duty advisors are legally obligated to act in your best interest, not their own. If your advisor isn’t bound by the fiduciary standard and only follows the suitability standard, this could create potential conflicts of interest.
Understanding Your Rights as an Investor
Every investor deserves personalized advice that considers their financial needs and goals. Good financial advisors help you make informed decisions about wealth management and financial planning. They provide regular annual reports and maintain transparency about fee structures.
A legitimate financial advisor working with a reputable wealth management firm will:
- Explain complex concepts in plain English
- Provide personalized advice based on your financial plan
- Act as a trustworthy advisor who prioritizes your financial security
- Help you work toward a prosperous future
Red flag behaviors include advisors who can’t adequately explain their investment advice or seem more interested in selling you products than understanding your financial future needs.
How Haselkorn & Thibaut Can Help You Fight Back
When you’re dealing with a bad financial advisor or misconduct, you need attorneys who truly understand both sides of the equation. Haselkorn & Thibaut brings a unique perspective as former brokers and defense attorneys—they know exactly how the investment industry works and how wrongdoers try to cover their tracks.
With over 50 years of combined experience, Josh Haselkorn and Gary Thibaut have dedicated their careers to helping people recover from bad financial advisor situations. They’re not just lawyers who dabbled in securities law—they’re top rated nationwide specialists who have made this their life’s work.
What sets them apart when dealing with bad financial advisors? Their 98% success rate speaks volumes about their dedication and expertise. They’ve recovered millions for clients across the country, helping families and individuals get back savings they thought were lost forever from bad advisor relationships.
But here’s what might matter most to you right now: you don’t pay unless they recover money for you. This contingency fee arrangement means Haselkorn & Thibaut only gets paid when you get results. They understand that clients dealing with bad financial advisor situations may already be facing financial strain.
What Happens When You Reach Out
Taking the first step can feel intimidating, especially when you’ve been burned by a bad financial advisor. But the process is designed to be as comfortable as possible for you. When you contact Haselkorn & Thibaut, you’ll start with a free, confidential consultation. No pressure, no obligations.
During this conversation, they’ll listen to your situation and review any documents you have. They’ll explain in plain English whether you have a case against your financial advisor and what your options might be. Unlike complex concepts that bad financial advisors use to confuse clients, everything will be explained clearly.
You’re not committing to anything by making that first call. You’re simply getting expert advice about your situation from attorneys who have successfully handled thousands of similar cases involving financial advisors.
If you decide to move forward, they handle everything. They know how to navigate the complex world of securities arbitration and litigation. They understand the tactics that brokerage firms and bad advisors use to avoid responsibility, and they know how to counter them effectively.
You Have More Power Than You Think
One of the most important things to understand is that you have rights as an investor, and there are systems in place to help you recover losses from bad financial advisor misconduct or fraud. The Securities and Exchange Commission, FINRA arbitration, and civil litigation all provide pathways to justice and recovery.
Haselkorn & Thibaut has used these systems successfully for decades. They understand the nuances of each approach and know how to build the strongest possible case against financial advisors who have violated their fiduciary duty.
The investment industry counts on people feeling overwhelmed and giving up when they encounter a bad financial advisor. Don’t let that happen to you. Your financial security matters, and experienced attorneys can help you fight for what’s rightfully yours.
Time Matters—But You’re Not Too Late
While there are time limitations on claims against bad financial advisors, you likely have more time than you think. Different types of cases have different deadlines, and experienced attorneys can help you understand exactly where you stand.
What’s most important is taking that first step. Every day you wait is another day that evidence might disappear or memories might fade regarding your bad financial advisor‘s actions.
Finding a New Advisor: What to Look For
If you’ve identified warning signs of a bad financial advisor, you’ll eventually need to find a new advisor. Here’s what to look for in good financial advisors:
- Proper credentials like certified financial planner or chartered financial analyst
- Clear fee structures with no hidden fees
- Status as a registered investment adviser bound by fiduciary duty
- Transparent annual reports and regular communication
- Personalized advice tailored to your unique financial situation
- Focus on your best interests rather than selling products
A good advisor will take time to understand your risk tolerance, financial goals, and work with you to develop a comprehensive financial plan for your financial future.
Taking Action: Your Next Steps
If the warning signs of a bad financial advisor described here sound familiar, or if you’re simply unsure about your investment advice situation, don’t wait. Trust your instincts—they brought you to this information for a reason.
Contact Haselkorn & Thibaut for a free consultation. You’ll speak with attorneys who have successfully recovered millions for clients just like you who were harmed by bad financial advisors. They’ll give you honest advice about your situation and clear guidance on your options.
Remember: there’s no risk in making that call, but there could be significant risk in not making it.
Your financial future is too important to leave in questionable hands. Whether you need help recovering losses from a bad financial advisor, holding a negligent advisor accountable, or simply getting peace of mind about your financial security, experienced legal help is available.
If you’re ready to take the first step toward protecting your financial future, call Haselkorn & Thibaut at 1-888-885-7162 for your free, no-pressure consultation. We’re here to help.
For more information about their Florida practice and how they’ve helped investors throughout the state recover from bad financial advisor situation.
You’ve worked too hard for your money to let a bad financial advisor‘s misconduct or fraud take it away. Don’t let warning signs go unaddressed. Take action today to protect your financial health and secure your prosperous future.
