Imagine buying a flashy sports car when you really need a reliable family van for five kids instead. That is the essence of an inappropriate investment — it does not align with your goals and needs.
Did you know that financial professionals have an obligation to recommend suitable options that promote your investment goals? When they fail to act in your best interests, you may wonder what, if anything, you can do about it. Consider taking these steps if you believe an investment advisor or other financial professional influenced you into making unsuitable investments.
Understand your situation
Sometimes, advisors may recommend an unsuitable investment with no ill intent. Perhaps they made an error in judgment. Other times, it can happen because they want to increase their profits and have few qualms about making improper investment suggestions. Regardless of the reason for an unwise recommendation, they still have a responsibility to provide sound financial guidance.
Gather your evidence
You need a paper trail or digital documentation to build a convincing case, even if you know you are in the right. Collect all documents and paperwork related to the investment, including account statements, emails, texts, letters and contracts. Creating and maintaining a log or record of interactions with those who recommended the investment can also strengthen your case.
Protect your rights
After learning that your investment compromised you financially, an early protective step is to assess the fiscal harm you may have suffered. A different, well-vetted financial professional can help with this task.
When it is time to consider a legal remedy, it’s important to have experienced guidance. This can help you protect your rights and explore all available options under Kentucky law.
