SEC Tag Archives — Securities Fraud Lawyers Blog

SEC Publishes New Guidelines for Disclosing Cybersecurity Risks to Investors

Published on: March 30, 2018 | by Savage Villoch Law, PLLC

Understanding Cybersecurity Risks

In today’s digital age, the use of technology to facilitate investments has become largely commonplace. We can see many examples of how investing has moved to the cyber-realm from online investing platforms to robo-advisers. While this has greatly empowered investors to take more direct control over their investment strategy, it has also increased the potential vulnerability to cyber fraud and theft.

“In a digitally connected world, cybersecurity presents ongoing risks and threats to our capital markets and to companies operating in all industries, including public companies…”

Wells Fargo’s Wealth-Management Business Under Scrutiny

Published on: March 15, 2018 | by Savage Villoch Law, PLLC

Industry watchdogs turn their focus on Wells’ wealth-management services

It seems that we may not have yet seen the end of the Wells Fargo accounts scandal. The Justice Department has taken an increased interest in Wells Fargo’s wealth-management unit following whistle-blower claims that the bank’s wealth-management customers have been affected.

According to a Wall Street Journal (WSJ) article, the Justice Department ordered Wells Fargo to conduct an investigation into the bank’s own wealth-management business, in response to claims of unfair practices. The investigation into any potential wrong-doing is the first focused on services offered by Wells Fargo outside banking, namely its financial and investment advisory business.

My Big Co(i)n: Cryptocurrency Scams Play on Same Old Tricks

Published on: February 2, 2018 | by Savage Villoch Law, PLLC

Bitcoin – Big Coin – Bitcoin – Big Coin…

Read that over a few times. Are those two words beginning to sound similar?

That’s what the founders of My Big Coin, Inc. were hoping when they created their cryptocurrency investment offering. The Nevada-based company has been accused of defrauding investors hoping to cash-in on the recent investment trend.

Beware of Federal Retirement Savings Investment Fraud

Published on: August 4, 2017 | by Savage Villoch Law, PLLC

The federal government is one of the nation’s largest employers. It employs millions of people; you may even be one of them. One of the largest perks of government employment is access to retirement security. Millions of employees participate in some sort of federal retirement savings or investment plan. The popular Thrift Savings Plan (TSP) has over 5 million participants alone.

However, your federal retirement savings may be vulnerable to fraud. The SEC is warning retirement plan participants and investors, particularly TSP participants to beware of fraudulent activity.

Beware: Federal Retirement Savings Fraud

8 Tips for Safeguarding Your Online Investments Against Fraud

Published on: April 28, 2017 | by Savage Villoch Law, PLLC

In the internet age, cyber crime has become one of the top platforms for investment fraud and financial crimes. Many investors have begun making online investments instead of using traditional investment platforms. With this, comes the need to educate and inform about fraud targeting online investments.

The Securities and Exchange Commission has published an investor bulletin outlining helpful tips and resources to protect your online investments from fraud.

8 Tips for Protecting Online Investments

Top 8 Investor Complaints

Published on: April 21, 2017 | by Savage Villoch Law, PLLC

The investment world is pretty cut-and-dry; either you win, or you lose. Not much can be said for losing, after all, it’s part of the game. Usually when you lose out on an investment, it’s due to the fact that you didn’t account for certain risks. However, there are some instances beyond investors’ control that might derail an otherwise sound investment. These instances give rise to understandable investor complaints.

Investor complaints pertain to how a transaction was executed. Whether it’s against a broker, investment advisor, transfer agent, or an entire brokerage firm, investor complaints focus on how an investment transaction is handled.

Below are the most frequently recurring investor complaints as reported by the SEC’s Office of Investor Education and Advocacy (OIEA).

What to Know About About Robo-Advisor Investing

Published on: February 24, 2017 | by Savage Villoch Law, PLLC

The Securities and Exchange Commission (SEC) has released an investor bulletin for investors to understand the fundamentals of robo-advisor investing, or the practice of using automated investment platforms.

Robo-advisor investing has risen in popularity, especially among d-i-y and at-home investors due to the relatively low cost compared to traditional investing and expedited nature of deals.

With this rise in popularity, however, risks are bound to follow. Automated trading platforms may be vulnerable to hacking and computer fraud.

Tips for Tracking Your Investment Brokerage Activity

Published on: January 19, 2017 | by Savage Villoch Law, PLLC

Many passive investors are happy just leaving their investments at the hands of their brokerage firms. Many investors opt review brokerage activity via a monthly overview statement rather than from a hands-on approach. Broker-dealers handling investment accounts are free to make most decisions on quantity and frequency of investment securities.

Although ostensibly broker-dealers must have the investor’s interests at heart, some may take advantage of the lack of oversight from the investor.

The Securities and Exchange Commission (SEC) warns that, in some cases, investors have encountered excessive fees due to sharp increases in brokerage activity on investment accounts.

Inexperienced Investors Targeted in Day-Trading Scam

Published on: December 26, 2016 | by Savage Villoch Law, PLLC

Last week, the Securities and Exchange Commission (SEC) charged two individuals in a fake day-trading scheme targeting inexperienced investors.

According to the SEC’s press release, the two men in question scammed investors out of more than $1.4 million through the operation of a false day-trading investment firm.

Luring Investors with Day-Trading

SEC Warns of Form 4 Investment Scams

Published on: November 7, 2016 | by Savage Villoch Law, PLLC

The Securities and Exchange Commission (SEC) has announced that investors should be on the lookout for fraudulent claims using Forms 4.

A Form 4 is filed when investment insiders (officers, directors and anyone holding 10% or more in company securities) execute transactions. A Form 4, which must be filed within two days following a transaction, serves to inform the public of the insider’s transactions in company stock and other securities.

Apparently, scammers and fraudsters are posing as brokers and providing false Forms 4 and other official documentation to investors in order to sell them fake shares. By using forms that appear to be sent from the SEC and other regulatory agencies, scammers seek to legitimize fraudulent claims.