NOTICE TO MERRILL LYNCH PUERTO RICO BOND/BOND FUND INVESTORS: Klayman & Toskes, P.A. Continues to Investigate FINRA Arbitrati...
December 05 2016 - 5:12PM
Business Wire
The Securities Arbitration Law Firm
of Klayman & Toskes, P.A.
(“K&T”), www.nasd-law.com, continues to investigate FINRA
arbitration claims against Merrill Lynch, a subsidy of Bank of
America, N.A. (NYSE:BAC), for its margin lending practices
related to concentrated investments in Puerto Rico bonds and
leveraged closed-end bond funds (CEBFs). The Financial Industry
Regulatory Authority (FINRA) recently fined Merrill Lynch $6.25
million for failure to supervise the recommended use of borrowed
funds to invest in securities. Additionally, Merrill Lynch agreed
to “pay roughly $780,000 in restitution to 22 customers who had 75%
or more of their assets invested in Puerto Rico bonds and funds and
suffered huge losses trying to liquidate them to meet margin
calls.” K&T is currently investigating the sales practices of
Merrill Lynch’s for violations related to unsuitable concentration
in Puerto Rico bonds and leveraged CEBFs.
K&T’s investigation focuses on recommendations by Merrill
Lynch to use loans secured by their Puerto Rico bonds and leveraged
CEBFs. Recommendations to use borrowed funds to invest in Puerto
Rico bonds and leveraged CEBFs resulted in undue risks for
investors with moderate to conservative risk tolerances. Merrill
Lynch investors suffered greater losses and margin calls from the
use of borrowed funds provided by their parent company, Bank of
America, N.A.
The sole purpose of this release is to investigate sales
practice violations by Merrill Lynch on behalf of our clients. The
sales practice violations may include unsuitable investment
recommendations, margin calls, conflicts of
interest, misrepresentations and omissions of material
facts and a failure to supervise. Merrill Lynch
customers who have information about the sales practices
of the firm related to concentrated investments in Puerto Rico
bonds, CEBFs through borrowed funds provided by Bank of America,
N.A. are encouraged to contact Lawrence L. Klayman, Esq. or
Steven D. Toskes, Esq. of Klayman & Toskes, P.A.
at (787)-919-7325, or visit our website
at www.perdidasenbonospr.com/en/.
About Klayman & Toskes, P.A.
K&T is a leading national securities law firm which
practices exclusively in the field of securities arbitration and
litigation, on behalf of retail and institutional investors
throughout the world in large and complex securities matters. The
firm represents high net-worth, ultra-high-net-worth, and
institutional investors, such as non-profit organizations, unions,
public and multi-employer pension funds. K&T has office
locations in California, Florida, New York and Puerto Rico.
Destination:
http://nasd-law.com/notice-to-merrill-lynch-puerto-rico-bond-and-bond-fund-investors-klayman-toskes-p-a-continues-to-investigate-finra-arbitration-claims-against-merrill-lynch-for-its-margin-lending-practices-relat/
View source
version on businesswire.com: http://www.businesswire.com/news/home/20161205006335/en/
Klayman & Toskes, P.A.Lawrence L. Klayman,
Esq. or Steven D. Toskes, Esq., 787-919-7325www.nasd-law.com
Bank of America (NYSE:BAC)
Historical Stock Chart
From Sep 2024 to Oct 2024
Bank of America (NYSE:BAC)
Historical Stock Chart
From Oct 2023 to Oct 2024