At least one lawsuit and one securities fraud arbitration claim have been filed against Fisher Investments over losses suffered by clients of the financial advisor firm who lost money due to heavy investments in stocks, despite conservative investment objectives and evidence of an aproaching bear market.
Fisher Investments is one of the largest registered firms of investment advisors in the United States, with nearly 38,000 client accounts. As financial advisors, they have a fiduciary duty to give impartial advice that places their clients’ interests first.
According to an Investment News article, a news source for financial advisors, a Fisher Investments lawsuit was filed this month in Houston to recover losses suffered by a living trust that the firm was managing. In addition, an arbitration claim against Fisher Investments was filed by a retired doctor and his wife, who lost $1.2 million.
The complaints both contain similar allegations that Fisher Investments’ financial advisors breached their fiduciary duty by failing to take steps to protect the conservative interests of the investors. Although signs had emerged of a pending stock market collapse, the clients were almost exclusively invested in stocks.
Financial fraud lawyers expect that dozens of similar arbitration claims are likely to be filed against Fisher Investments in the coming months by other investors who claim to have lost substantial sums of money due to the mis-management and poor advice allegedly provided by their financial advisors.