Stock fraud lawyers are currently investigating potential claims on behalf of customers who suffered losses as a result in their investment in a Deutsche Bank-created structured product or products. In some cases, Financial Industry Regulatory Authority-registered brokerage firms may be held liable for having improperly sold structured products to their clients, such as those created by Deutsche Bank.
Typically, structured products are notes or debt instruments created by investment sponsors. These products are linked to assets such as stock, which are linked to another asset or assets. These investments are extremely complex and, as a result, are not appropriate for unsophisticated investors who are not capable of understanding the risks and complexity of the investment.
Because an income component is typically offered with structured products, they are appealing to fixed income individuals, such as retirees. Despite the fact the investment is not suitable for many individuals, they continue to be pushed by brokerage firms because of the high commissions offered in association with their creation and sale. Financial Industry Regulatory Authority rules have established that firms have an obligation to fully disclose all the risks of a given investment when making recommendations, and those recommendations must be suitable for the individual investor receiving the recommendation given their age, investment objectives and risk tolerance. Furthermore, investment fraud lawyers say that brokerage firms must, before approving an investment’s sale to a customer, conduct a reasonable investigation of the securities and issuer.
According to investment fraud lawyers, some of the Deutsche Bank structured products currently being investigated are Deutsche Bank Performance Securities with Contingent Protection, Deutsche Bank Auto-Callable Optimization Securities, Deutsche Bank Index Plus Notes and Deutsche Bank Buffered Underlying Securities.
If you were unsuitably recommended a Deutsche Bank structured product and suffered significant losses as a result, you may have a valid securities arbitration claim. To find out more about your legal rights and options, contact a stock fraud lawyer at The Law Office of Christopher J. Gray at (866) 966-9598 for a no-cost, confidential consultation.