• Medientyp: E-Book
  • Titel: Security Recommendations and the Liabilities of Broker-Dealers
  • Beteiligte: Kozora, Matthew [Verfasser:in]
  • Erschienen: [S.l.]: SSRN, [2016]
  • Umfang: 1 Online-Ressource (43 p)
  • Sprache: Englisch
  • DOI: 10.2139/ssrn.2791722
  • Identifikator:
  • Schlagwörter: Broker-Dealers ; Investment Advisers ; Arbitration ; Fiduciary Duty ; Suitability ; Disclosure
  • Entstehung:
  • Anmerkungen: Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments May 1, 2016 erstellt
  • Beschreibung: I investigate the liabilities of broker-dealers from the arbitration of investor claims relating to security recommendations. I find that investor awards are more positive for claims involving securities that are more difficult to evaluate, and that the more positive awards relate to investor assertions of a fiduciary duty violation and to investor assertions of a suitability violation. I also find that the length of the arbitration, a measure of the cost of arbitration and a proxy for the potential difficulty of the two parties to directly settle the dispute, are greater for these claims. Overall, the results indicate that broker-dealers can have additional liabilities when recommending securities that are more difficult to evaluate. The results illustrate the importance of the applicable laws, including arbitration as a forum for dispute resolution, as a determinant of the liabilities or potential costs of broker-dealers to provide security recommendations
  • Zugangsstatus: Freier Zugang