TD Ameritrade and Sheaff Brock Stock Options Losses

TD Ameritrade and Sheaff Brock Stock Options Losses

Contact Us If You Have Lost Money to TD Ameritrade and Sheaff Brock

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Dimond Kaplan & Rothstein, P.A. is pursuing FINRA arbitration claims against TD Ameritrade on behalf of an elderly investor who suffered stock option investment losses as a result of services rendered through Sheaff Brock.

The TD Ameritrade customer utilized the investment advisory services of Sheaff Brock through TD Ameritrade’s AdvisorDirect program and suffered significant losses in a risky put income options strategy.

TD Ameritrade AdvisorDirect Program

Through its AdvisorDirect program, TD Ameritrade introduces its high-net-worth customers to third-party investment advisors. TD Ameritrade receives a solicitation fee if the customer then uses the investment advisors’ services and receives 25% of the ongoing investment management fee that the investment advisor charges. The firm also collects commissions for all trades that the investment advisor makes in the customer’s TD Ameritrade account. These revenue streams incentivize TD Ameritrade to recommend its AdvisorDirect program to customers.

In this case, TD Ameritrade introduced an elderly customer to investment advisor Sheaff Brock. The customer has stated that both Sheaff Brock and TD Ameritrade recommended that the customer sell put options to generate income. Although selling puts can be among the riskiest forms of options trading, Sheaff Brock and TD Ameritrade appear to have represented to the customer that the put income strategy was conservative. We believe that the firm improperly recommended the strategy to its customer who was not willing to take significant risks with his money. We further believe that the firm negligently approved this elderly customer’s account to sell the risky put options.

Beverly Hills, California TD Office Plays A Role

TD Ameritrade’s Beverly Hills, California office introduced our client to Sheaff Brock. And we believe that TD Ameritrade’s Beverly Hills office introduced other investors to Sheaff Brock as well, some of whom also may have lost money in the put income program.

Did You Lose Money with Sheaff Brock?

If you were a TD Ameritrade customer and lost money in a Sheaff Brock options trading program, you may have certain legal rights that require your immediate attention. Cases of this nature are handled through private FINRA arbitration rather than the public court system. Such cases must be brought timely or you may be prohibited from pursuing your claims.

Call an Investment Fraud Attorney Today

Dimond Kaplan & Rothstein, P.A. is a nationally recognized stockbroker negligence and investment fraud law firm that has recovered more than $100 million from banks and brokerage firms for their wrongful actions. With offices in Los Angeles, New York, West Palm Beach and Miami, our invest fraud attorneys represent clients nationwide and may be able to help you recover your investment losses.

Contact a Dimond Kaplan & Rothstein, P.A. investment fraud attorney at (888) 578-6255 or email to schedule an appointment or consultation to discuss your potential claims.


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