Participating in a side deal with your broker is known as "selling away." These deals are usually very risky and can result in financial losses because they are often unsupervised and go against your risk tolerance or investment objectives. If you suffer a loss as a result of a side deal, an attorney at Halling & Cayo, S.C. can help you file a claim against your broker and the supervising employer.
Side deals with a broker in the industry are called selling away. And so what we find happens is that you develop a relationship with your broker over the years, and he regularly does the normal broker things, calls you about stocks and tells you what he recommends, tells you about new investments, that kind of thing. And then, somehow, sometimes a side deal comes up, and he tells you, he or she tells you, "Hey, I've got this great investment," and it's an investment in real estate, or you'll see that it's a private placement or something along those lines. And they'll sell it to the investor, and unfortunately, oftentimes, they're extraordinarily risky, and because he's selling it away, not through his company, it means nobody is supervising and nobody is checking to see whether it meets your risk tolerance, your investment objectives, your retirement date. And so it can really exacerbate the problem.
In those cases, not only do you potentially have a claim against the broker, but you also might have a claim against his employer, even though he didn't sell it through that employer, because the employer's obligation is to supervise not just those things that he sells through his company, but also his outside business activities, anything he's doing away from the broker with those clients. And so, if you've gotten involved in a side deal with your broker and lost significant money, you might have a claim not just against the broker, but also against his company, and we can help you with that.