FINRA Orders Schwab to Pay $18,000,000 for Marketing YeildPlus Bond Fund
Recently the arbitration process at FINRA resolved a dispute alleging misdeeds by Schwab in the marketing of its YieldPlus short-term bond fund. Some investors in South Florida who had their brokerage account in Fort Lauderdale and Palm Beach wire houses were included in the Fair Fund award.
The allegations are that Schwab make inaccurate statements or omissions of material information about the fund. The Securities and Exchange Commission (SEC) was the moving party (plaintiff) in the FINRA arbitration which resolved in 2011. Many retirees in Boca Raton and Aventura had made investments in the fund and would be included in the recovery. If your investment advisor or South Florida Stock Broker had you money invested in this vehicle (The Schwab YieldPlus Bond Fund) contact a South Florida Securities Fraud attorney and ask about your possible recovery in the Fair Fund award. Some of South Florida’s most prominent and respected Securities Fraud and Stock Broker Fraud lawyers were either involved in the action in assisting the SEC or had their client’s included in the recovery. The findings by FINRA were that between Sept 2006 and Feb 2008 Schwab sold of $13.75 billion dollars in shares in the YieldPlus Fund to customers. If you had an account in a South Florida securities dealer (over 98% of Schwab customers invested in ultra short-term bond funds, 40% of whom were under forty years of age) contact a securities fraud lawyer and ask about the FINRA arbitration award.