Understanding Your Legal Rights Under FINRA: Protecting Seniors from Elder Financial Abuse and Investment Fraud
Investment fraud doesn’t always come in the form of a bold heist or an obvious scam. More often, it happens behind the scenes—when trusted financial professionals take advantage of elderly investors or vulnerable individuals. When this happens, victims and their families are often left wondering where to turn and whether any legal remedies are available.
Fortunately, investors have rights. And for those harmed by broker misconduct, one of the most powerful tools for pursuing justice is FINRA arbitration.
At Silver Miller, we are committed to protecting seniors and others from financial exploitation—and helping victims recover their losses through every legal avenue available.
What Is FINRA and Why Does It Matter?
FINRA, the Financial Industry Regulatory Authority, is a self-regulatory organization that oversees broker-dealers and financial advisors. Its mission is to safeguard market integrity and protect investors from fraud and abuse.
One of FINRA’s most important functions is providing a platform for dispute resolution. Investors who have suffered losses due to broker misconduct—such as unauthorized trading, misrepresentation, or unsuitable investments—can file claims through FINRA arbitration to recover damages and other forms of legal relief.
FINRA also sets licensing standards, monitors compliance, and educates the public; but for victims seeking compensation for harm wrongfully imposed upon them, arbitration is where the action happens.
How Seniors Become Targets of Financial Abuse
Elder financial abuse is one of the most devastating—and growing—forms of exploitation. Seniors are often targeted by unethical brokers or investment advisors who manipulate them into risky, complex, or entirely fraudulent investments.
Some common tactics include:
- Recommending high-risk or unsuitable investments
- Pressuring seniors to prematurely liquidate retirement assets
- Hiding or falsifying account activity
- Selling away (offering investments not approved by the brokerage firm where the advisor works)
- Failing to disclose important information
In many cases, these actions violate both ethical duties and FINRA regulations—and they can form the basis of a legal claim.
Your Rights as an Investor Under FINRA Rules and Regulations
If you or your loved one has been harmed by a broker or financial firm, you have the right to pursue compensation and other measures of relief. FINRA arbitration allows victims to:
- File claims against brokers and brokerage firms for misconduct
- Seek monetary and non-monetary recovery for investment losses, fees, and legal costs
- Hold firms accountable for failing to supervise or prevent abuse
- Present their case before a panel of arbitrators in a confidential, non-court setting
Unlike regulatory complaints, which may result in fines or sanctions against malfeasant brokers/firms but no compensation for the victims, FINRA arbitration is designed to recover money for victims of harmful conduct.
Why Legal Representation Matters
FINRA arbitration is complex. It involves strict deadlines, extensive documentation, and procedural rules that can overwhelm victims—especially those unfamiliar with the legal system. That’s why working with an experienced FINRA arbitration attorney is crucial.
At Silver Miller, our legal team is well-versed in FINRA regulations and has successfully represented clients in cases involving:
- Elder financial exploitation
- Unauthorized trading
- Misrepresentation and omission of facts
- Negligent supervision
- Complex financial products
- Crypto-related investment fraud
We investigate claims, document losses, prepare filings, and represent clients throughout FINRA arbitration hearings and negotiations.
What Can Be Recovered Through FINRA Arbitration?
If successful, a FINRA arbitration award may include:
- Recovery of lost investment funds
- Reimbursement of brokerage fees or commissions
- Coverage of legal and filing fees
- Additional damages in cases of egregious conduct
In some situations, non-monetary relief—such as the enforcement of contractual obligations—may also be pursued.
Protecting Your Loved Ones from Financial Abuse
If you suspect an elderly family member is being financially exploited by a broker or investment firm, act quickly. Time is a critical factor in preserving evidence and filing within regulatory deadlines.
Look for red flags such as:
- Unusual account activity
- Confusion about investments
- Pressured sales pitches or aggressive advisors
- Missing funds or unexplained account changes
If any of these sound familiar, legal action may be warranted.
Silver Miller: Advocates for Elderly Investors and Victims of Fraud
Silver Miller is a nationally recognized law firm dedicated to representing victims of investment fraud, broker misconduct, and elder financial exploitation. Our attorneys have deep experience handling FINRA arbitration claims and a proven record of securing meaningful results for our clients.
We understand the sensitive and complex nature of these cases, especially when family members are involved. Whether you’re a senior who was exploited—or a loved one trying to protect someone else’s financial well-being—we are here to help.
Contact Silver Miller for a Free Consultation
If you or someone you love has been the victim of investment fraud, don’t wait. Contact Silver Miller to schedule a confidential case evaluation. We’ll help you understand your rights under FINRA Dispute Resolution and work with you to pursue the recovery and accountability you deserve.
