Securities Fraud and Mismanagement

Attorney and Counselor at Law

303-300-5022 / 844-253-5858 Toll Free

Did the actions/inactions of my broker fall below the required standard of care?

We’ll tell you, for FREE.

If your short sale investments have been mismarked as long, or vice versa, by your securities brokerage please call for a free consultation. Our toll-free number is 1-844-253-5858. We represent investors nationwide concerning losses due to brokerage negligence and fraud.

Brokerage mismarking of trades is common and preventable. Trading systems can be structured to detect and prevent the routing of inaccurately marked short or long trades. Failing to institute such safeguards is a breach of industry standards in addition to the violation state and federal securities regulations.

We believe such system failures have existed at least three periods in the past and likely many more times. Goldman Sachs had such failures, where options were mismarked, from October 2015 to April 2018, and again in October 2019. TD Ameritrade had such failures in February and March 2021. reports that Goldman Sachs paid a $3 million penalty in April 2023 for such failures. The identified reason was a missing line of code in the automated trading system. The Financial Industry Regulatory Authority cited this failing as a violation to keep accurate books and records. Further, FINRA found that Goldman could have prevented the problem had it maintained a “supervisory system reasonably designed” to comply with FINRA rules.

Likewise, we have reason to believe similar issues existed at TD Ameritrade in 2021. In February and March of that year, trades were mismarked as short or long due to a system failure. The problems that this can cause include forced margin maintenance sales and inappropriate loss sales.

Trading options is a difficult process for investors. Options being mismarked causes the effort to be lost. It also causes the portfolio to be put in jeopardy by betting against the research by taking a position opposite of the position intended.

For the last 20 years, we have represented investors suffering losses due to brokerage wrongdoing. Please call for a free initial consultation.

Trading relies on accuracy of orders.
Investing is tough enough without orders being mismarked.