Complex and Alternative Investments
Respected Commercial Litigation Lawyers Dedicated to Uncovering Misconduct and Pursuing Justice on Behalf of Investors Investing in complex and alternative investments can be both lucrative and risky, especially when you rely on advice from a broker or financial advisor. Whether you’re considering such investments or dealing with losses, understanding your rights and responsibilities is crucial. At Malecki Law, our securities law attorneys are here to help you understand your rights and pursue claims against those responsible for your losses.
What Is an Alternative Investment? An alternative investment refers to financial assets that fall outside the realm of traditional investments, such as stocks, bonds, or cash-investment products. These investments often include non-traditional asset classes such as real estate, private equity, hedge funds, commodities, and venture capital.
Alternative investments are often sought for their potential to deliver high returns and diversify portfolios. However, they also come with unique risks, including illiquidity, high fees, and a lack of regulatory oversight compared to traditional investments.
What Are Some Examples of Alternative Investments? Examples of alternative investments include:
- Real Estate: Investments in residential, commercial, or industrial properties.
- Private Placements: Securities that are not publicly traded and are sold through private offerings.
- Hedge Funds: Pooled investment funds employing complex strategies to maximize returns.
- Commodities: Physical goods such as gold, oil, or agricultural products.
- Cryptocurrencies: Digital or virtual currencies like Bitcoin or Ethereum.
These investments often require significant due diligence and carry risks that may not be immediately apparent to the average investor.
What Must My Broker Do Before Recommending an Alternative Investment? Brokers and financial advisors are obligated to adhere to strict regulatory standards when recommending alternative investments. Under FINRA’s suitability rule and Regulation Best Interest (Reg BI), brokers must:
- Understand the Product: Fully comprehend the complexities, risks, and potential returns of the alternative investment.
- Assess Suitability: Ensure the investment aligns with your financial goals, risk tolerance, investment knowledge, liquidity needs, and overall portfolio.
- Disclose Risks: Provide clear and comprehensive information about the risks associated with the investment.
- Avoid Conflicts of Interest: Act in your best interest and avoid recommending investments that primarily benefit the broker through high fees or commissions.
Failing to meet these obligations can result in financial losses for investors and liability for brokers or their firms.
What Should I Do if I Have Experienced Losses in Alternative Investments Recommended By My Broker? If you believe your broker’s recommendation of an alternative investment resulted in significant financial losses, it’s essential to take action:
- Review Your Investment Records: Gather all relevant documentation, including account statements, correspondence with your broker, agreements, offering documents, and promotional materials.
- Identify Potential Misconduct: Determine whether your broker failed to disclose risks, engaged in unauthorized trading, or recommended investments not in your best interests.
- Consult an Attorney: Contact an experienced securities lawyer to evaluate your case and explore potential recovery options.
- File a Complaint: Report the misconduct to regulatory bodies such as FINRA or the SEC.
- Pursue Arbitration or Litigation: With the guidance of your attorney, you may seek damages through FINRA arbitration or a court of law.
Protect Your Investments With Malecki Law Malecki Law has extensive experience representing investors in cases involving complex and alternative investments. Our attorneys understand the nuances of these asset classes and are dedicated to helping you recover losses caused by broker misconduct. If you’ve suffered losses in alternative investments, contact Malecki Law at (212) 943-1233 for a consultation. Let us advocate for your financial future and ensure those responsible are held accountable.
Testimonials From Former Clients
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I highly recommend Jenice and her team at Malecki Law. I had a challenging, and lengthly case. Jenice was professional, very knowledgeable, and a pleasure to work with. She managed to make the process far less stressful during a very difficult time. They care about their clients, and it definitely shows. Mario
★★★★★
Jenice is truly a miracle worker and one of the top securities lawyers. She handled a very difficult case for us, displaying her legal knowledge, intelligence, and savviness throughout the process. I cannot recommend her enough. The quality of work from her team rivals that of corporate law firms. She was always available, extremely professional, and made sure to know all the details of the case. We were very fortunate to have been referred to Jenice and highly recommend her for any securities related legal issues. Nathan A.
★★★★★
An excellent professional who represented us in trial regarding a bank fraud, an unexpected and difficult time. A professional that worked hard, persevering and who stood toe to toe against firms that had a team of excellent lawyers backing them up. Her unflinching determination really stands out, it makes you feel you have someone who really cares about trying to recover what you lost from the people that wronged you. Salomon Levi
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It is difficult to thank you in words when gratitude comes from the heart, so I will try to link feelings with writing. It is essential for us to mention your excellence as a professional, your aptitude on legal fields, and your unavoidable persistence. All of these virtues that elevate the profession you exercise in such an admirable way, go hand in hand with your sense of ethics, your human warmth and the transparency in your actions. To sum up, thank you for being a listening ear and for having the right word while transmitting information about the legal process. Having you as our representative during such an adverse situation was a privilege and enough reason for our eternal gratitude. Angeles Aparain
★★★★★
To say that my securities litigation was complex would be a severe understatement. With multiple parties involved and spanning many years, trying to understand the issues was daunting to say the least. Jenice and her team broke down the transactions by segment and by party uncovering every hidden expense. In the end, I was more than happy and could not thank Jenice and her team enough. I would not hesitate to recommend Jenice to anyone. She is highly professional, incredibly knowledgeable, well connected to industry experts, has a tireless work ethic and is so pleasant and easy to communicate with. Five stars for sure! Andrew Loughrane
★★★★★
Jenice was also special in giving us all the personal attention we needed, plus the tireless support of her crack team, over the course of ~18 mos. She talked us through every step of the way, and was open to discussing specific negotiation tactics, not glossing over anything. Dave Bliss
★★★★★
I recently worked with Jenice to negotiate a business buyout, and I couldn't be more pleased with the experience. From the start, Jenice was incredibly helpful and deeply invested in achieving the best possible outcome for me. Her expertise and dedication were evident in every step of the process. David
★★★★★
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★★★★★
My experience with jenice was incredible. You want a lawyer who is advocate for you and fights for you with passion. She came along a time in my life that I needed an advocate who truly cared about me and my case. Highly recommend. Pat Brown
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I had the privilege of working with Malecki Law, and I must say it was an outstanding experience. Jenice, Jacqueline, and Adam consistently demonstrated remarkable responsiveness, offering excellent advice that reflects their diligence and precision. Their bold and intelligent approach, combined with an excellent attitude, truly sets them apart. I highly recommend Malecki Law to anyone seeking top-notch legal assistance. Mohsen Chitsaz
★★★★★
Jenice Malecki, is one of the most helpful individuals Ive had the pleasure of speaking with. She is super knowledgeable. She helped me navigate the ever changing world of securities law. You will find her understanding of complex matters helpful and insightful. She is straightforward and candid. She makes your options easy to understand. I would recommend her without any hesitation. 10/5 stars! Enrique Tiburcio
★★★★★
I highly recommend Jenice and her team! They are extremely professional, organized, and kept me updated throughout the entire process. We went to arbitration and won! Jenice is outstanding and I am so grateful for her expertise. Chelsea Polhemus