In the world of finance, allegations of malpractice, especially unauthorized trading, can have serious implications. Recently, a case has come to light involving Earl Hamilton, a broker and investment advisor currently associated with Raymond James Financial Services, Inc. The case is under investigation by Haselkorn & Thibaut, a national investment fraud law firm with a stellar reputation and a 98% success rate in financial recoveries for investors.
Allegation’s Seriousness and Case Information
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The allegation against Mr. Hamilton involves an unauthorized trade in an investment account. The activity dates of the alleged unauthorized trade are from July 24, 2023, to September 19, 2023. The client has claimed a dispute amount of $16,493.66.
The case is currently pending, and the seriousness of the allegation cannot be understated. Unauthorized trading is a breach of fiduciary duty, and if proven, it can have severe repercussions for the advisor involved.
Mr. Hamilton has been associated with Raymond James Financial Services, Inc. since January 4, 1999. His advisory activities primarily involve equity listed (Common & Preferred Stock).
Explanation in Simple Terms and the FINRA Rule
In simple terms, unauthorized trading involves a broker making trades on a client’s account without their prior consent. This is a serious violation of Financial Industry Regulatory Authority (FINRA) rules.
According to FINRA Rule 2510(b), “No member or registered representative shall effect any transaction in a customer’s account which is discretionary unless prior written authorization has been obtained from the customer.”
This means that a broker cannot make trades on a client’s account without their explicit written consent. In this case, the client alleges that Mr. Hamilton has violated this rule.
Why it Matters for Investors
Investors trust their financial advisors to make informed decisions on their behalf. When an advisor engages in unauthorized trading, it violates this trust and can lead to significant financial losses for the investor.
Moreover, it’s not just about the financial loss. Unauthorized trading can disrupt an investor’s financial plan and potentially expose them to unwanted risk. It is essential for investors to be aware of such practices and take immediate action if they suspect unauthorized trading.
Haselkorn & Thibaut, with their extensive experience and successful track record, is currently investigating the case against Mr. Hamilton.
Red Flags for Financial Advisor Malpractice and How Investors Can Recover Losses
Investors should be aware of certain red flags that may indicate financial advisor malpractice. These include unauthorized trading, unsuitable investments, churning, and misrepresentation.
If you notice unexpected trades in your account, increased trading activity, or investments that do not align with your risk tolerance, it could be a sign of malpractice.
Investors who have suffered losses due to financial advisor malpractice can seek help from experienced law firms like Haselkorn & Thibaut. They can guide you through the process of FINRA Arbitration, which can help recover losses.
Haselkorn & Thibaut offers a “No Recovery, No Fee” policy and free consultations to clients. You can reach them at their toll-free consultation number 1-800-856-3352.
In conclusion, allegations of unauthorized trading are serious and can have severe consequences for both the advisor and the investor involved. Investors should be vigilant and take immediate action if they suspect any malpractice.
