Securities Law Firm

Did Margin Calls or Concentrated Exposure Of Your Stock Cause You To Sustain Serious Losses? Our Securities Law Firm Is Helping Investors Explore Their Legal Options

The Shepherd Smith Edwards and Kantas Securities Law Firm (investorlawyers.com) is speaking to investors who may have sustained margin-related losses or concentrated stock exposure in the wake of a steep market sell-off caused by economic uncertainty, global tariffs, and general volatility.

With the S&P 500 going through one of its most challenging trading periods since the COVID-19 pandemic, investors that have concentrated or leveraged positions may have seen their portfolios lose money. Forced sales activated by margin calls could have also led to investment losses.

Even when market uncertainty or volatility is happening in the world, it is the responsibility of broker-dealers to stay on top of properly monitoring customers’ accounts, modifying portfolio strategies when necessary, and managing any risks.

Unfortunately, there may be instances when that doesn’t happen, causing investors to suffer serious losses. If you are one of these investors and you would like to explore your legal options, call (800) 259-9010 today.

Some of the stocks we are looking at that may have caused forced sales due to margin calls:

Microsoft Corporation (NASDAQ: MSFT)

Nvidia Corporation (NASDAQ: NVDA)

Amazon.com, Inc. (NASDAQ: AMZN)

Apple Inc. (NASDAQ: AAPL)

Tesla Inc. (NASDAQ:TSLA)

Meta Platforms Inc. (NASDAQ:META)

Alphabet Inc. (GOOG)

Many shareholders of these investments, including company employees, may be heavily concentrated in these investments. Some investors may have set up margin accounts. Unexpected margin calls could have happened, which could have caused liquidations and low prices.

What Is Margin Investing? 

Margin investing lets investors borrow money from a broker-dealer to purchase more securities, which can up the chances for larger returns if the price goes up. This is also considered buying on leverage.

If a margin account drops under the considered maintenance level, a margin call may happen, requiring that the investor deposit more funds or securities into the account to raise it back up to that threshold. If that proves impossible, the broker may have to liquidate securities in the customer’s account, increasing any losses for an investor even further.

Representing Investors Who Have Suffered Losses Due To Margin Calls

Broker-dealers are supposed to make sure that setting up a margin account is appropriate for an investor. For many retail investors and conservative retirees, margin borrowing is too risky a proposition.

Many margin account investors who have sustained serious financial losses, including the wealthy and sophisticated ones, have later said that their broker never fully apprised them of the risks or even made misrepresentations and omissions about them.

You want to work with a margin call securities law firm that understands how to assess the cause of your investment losses and knows how to file a solid securities claim on your behalf. The Shepherd Smith Edwards Securities Law Firm and Kantas have been exclusively representing investors against broker-dealers and investment advisers for more than 30 years.

We have helped thousands of investors to collectively recoup many millions of dollars in arbitration, mediation, and litigation. This has included investment loss recovery claims involving complex risky investments and strategies.

Contact our Securities Law Firm today to schedule your free, initial case consultation.