What is Excessive Trading?
One of the most common claims our stockbroker fraud attorneys handle are those that deal with the act of excessive trading. Excessive trading, also known as churning, occurs when unethical brokers who earn profits from each trade they make decide to make large numbers of stock trades on behalf of their clients simply to rack up fees, disregarding the consequences for their client.
Excessive trading probably seems pretty simple, but it can actually be hard to know if a broker is practicing excessive trading to earn an illegal profit. This is because sometimes making a large number of trades is a good strategy for the client. If however, the broker engages in a high number of trades over time with no monetary benefit for you, the client, you may have grounds for filing a stock broker fraud claim.
If you suspect that your broker is using excessive trading to generate fees at your expense, you have a right to pursue compensation. The experienced attorneys at Colling Gilbert Wright can help you examine the details of your case to determine if you need to take action.
To find out if you have a valid stockbroker fraud claim, call (407) 712-7300 to schedule an appointment with our experienced stockbroker fraud attorneys. We represent victims throughout the United States from our Florida location.