You’ve spent a lifetime honing your craft. The discipline, the sacrifice, the relentless pursuit of excellence—it all led to the career you dreamed of. You’ve reached the pinnacle of your sport, and with that success comes significant wealth. You did the responsible thing: you entrusted your financial future to a professional, a stockbroker or financial advisor who promised to protect and grow your hard-earned capital.
But something went wrong.
The portfolio that was supposed to secure your future and your family’s legacy is now a source of anxiety. The numbers don’t add up. The returns are gone, and a significant portion of your principal has vanished with them. The advisor who was once a trusted member of your team is now making excuses, downplaying the losses, or worse, has stopped returning your calls.
You feel betrayed, angry, and uncertain about the future. This isn’t just about money; it’s about the trust that was broken and the security that has been stolen. It’s a fundamental injustice that the wealth you bled for has been squandered through negligence or greed. You are not alone, and this is not a loss you have to accept.
At Bakhtiari & Harrison, we understand the unique financial landscape of professional athletes. We are a team of dedicated FINRA attorneys who concentrate on representing high-net-worth individuals, just like you, in cases of investment fraud and stockbroker misconduct. We don’t represent Wall Street firms; we hold them accountable. This is your playbook for fighting back.
The Pro Athlete’s Dilemma: Why You Are a Prime Target for Financial Misconduct
A professional athlete’s financial journey is unlike any other. It’s characterized by an extremely high income over a compressed number of years. This unique “sudden wealth” scenario, combined with the intense focus required to compete at an elite level, can unfortunately make you a primary target for unscrupulous or incompetent financial advisors.
The Short Window of Opportunity
Your peak earning years are limited. Unlike a doctor or a lawyer whose income may grow steadily over 40 years, your multi-million dollar contracts are concentrated in a 5-15 year window. This creates immense pressure to make the right financial moves quickly. A single bad investment or a period of broker negligence doesn’t just represent a small setback; it can permanently cripple your long-term financial plan. Dishonest advisors know this. They may push for overly aggressive, high-commission products, promising quick, spectacular returns, knowing that you are focused on maximizing growth in a short time frame.
The Burden of Trust
Your career demands your full attention. You don’t have time to become an expert in securities analysis, portfolio management, or market trends. You must place an immense amount of trust in your financial team. This dependency is precisely what predatory brokers exploit. They may use complex jargon, present misleading reports, and leverage your trust to make decisions that benefit them through high commissions and fees, rather than benefiting you.
The Public Profile of High-Net-Worth Individuals
As a public figure, your wealth is often a matter of public record. This makes you a visible target for the financial services industry. While many advisors are ethical, a subset specifically seeks out high-net-worth individuals and athletes, viewing them as a source for generating massive commissions. They may recommend inappropriate, high-risk investments that are entirely unsuitable for your long-term goals of capital preservation and steady growth. They bet on the fact that your busy schedule and lack of financial expertise will prevent you from noticing until it’s too late.
If you have seen your net worth plummet due to your advisor’s recommendations, it is crucial to understand that this may not be the result of a normal market downturn. It could be the result of actionable negligence or fraud.
Identifying the Foul Play: Common Ways Brokers and Advisors Destroy Athlete Wealth
Losing money in the market is one thing. Losing money because your advisor breached their duty to you is another. The Financial Industry Regulatory Authority (FINRA) has established clear rules of conduct for stockbrokers. When they break these rules, they can and should be held liable for the losses they cause. Here are some of the most common forms of misconduct we see in cases involving athletes who have lost money.
Unsuitable Investment Recommendations
This is one of the most fundamental violations. Your advisor has a duty to recommend only those investments that are “suitable” for your specific situation. This includes your age, income, net worth, risk tolerance, and investment objectives. For most athletes, the primary goal is capital preservation to ensure their wealth lasts a lifetime. Pushing a young athlete’s portfolio into high-risk, speculative investments like private placements, non-traded REITs, or volatile small-cap stocks is often a clear breach of the suitability rule.
Overconcentration
Did your advisor put too many of your eggs in one basket? Overconcentration is the failure to diversify a portfolio, leaving it dangerously exposed to a single stock, sector, or asset class. For example, if your advisor invested 50% of your net worth in a single energy stock that then collapsed, this is likely a case of overconcentration. A prudent advisor would have spread your risk across various industries and asset types to protect you from such a catastrophic loss.
Misrepresentation and Omissions 
This is classic fraud. Misrepresentation occurs when a broker makes false statements to induce you to invest, such as guaranteeing returns (which is impossible) or downplaying the risks of a particular product. Omissions are just as damaging—this is when the advisor deliberately fails to disclose crucial information, such as high commissions, illiquidity (inability to sell the investment easily), or significant conflicts of interest.
Churning (Excessive Trading)
Is your account statement filled with a dizzying number of trades each month? Your broker might be “churning” your account. This is a fraudulent practice where a broker buys and sells securities excessively not to benefit you, but to generate commissions for themselves. The commissions and fees eat away at your principal, making it nearly impossible to turn a profit, regardless of market performance.
Failure to Hedge
For clients with a highly concentrated position in a single stock (perhaps company stock from an endorsement deal), a competent advisor would use hedging strategies, like options, to protect the position from a significant downturn. Failing to recommend or implement these protective strategies can be a form of negligence.
If any of these scenarios sound familiar, you may have a strong case for a FINRA arbitration claim to recover your losses. You don’t have to take this loss. You can fight back.
Your Guide to Victory: Why Bakhtiari & Harrison Are the FINRA Attorneys You Need on Your Team
When you’re facing a career-threatening injury, you don’t go to a general practitioner; you go to the best orthopedic surgeon you can find. The same principle applies to recovering your financial health. You need a legal team with specialized expertise.
At Bakhtiari & Harrison, we are not general practice lawyers. Our practice is focused exclusively on securities arbitration and litigation. We have in-depth knowledge and experience. We represent investors in claims against the largest Wall Street brokerage firms.
We Understand the Playbook of the Other Side
Our attorneys have experience working for the very brokerage firms we now fight against. This gives us an invaluable insider’s perspective. We know the tactics they use to deny responsibility and blame investors for their own losses. We know how to dismantle their arguments, what evidence to look for, and how to build a powerful case designed to expose their misconduct and maximize your recovery. We are the FINRA attorneys who can level the playing field.
A Record of Success for High-Net-Worth Individuals
We have successfully represented a diverse clientele, including executives, entrepreneurs, retirees, celebrities, and professional athletes who have lost substantial sums of money. We understand the unique complexities of high-value portfolios and the devastating impact these losses can have. Our entire process is built around providing the sophisticated, aggressive, and confidential representation that high-net-worth individuals demand and deserve.
You Pay No Legal Fees Unless We Win
We handle our cases on a contingency fee basis. This means you will never pay us any attorneys’ fees unless we recover money for you. We are confident in our ability to win and willing to invest our own time to pursue your claim. This aligns our interests with yours—we are only successful when you are successful.
Your Game Plan for Financial Recovery: A Simple Path to Justice
The thought of taking on a massive financial institution can be intimidating, but our process is straightforward and designed to put you back in control. We handle the complex legal work so you can focus on your life and career.
- Schedule a Free, Confidential Consultation: Contact our office for a no-cost, no-obligation case evaluation. You will speak directly with an experienced FINRA attorney who will listen to your story, review your documents, and give you an honest assessment of your claim.
- We Launch a Full-Scale Investigation: If we believe you have a strong case, we will get to work immediately. Our team will conduct a deep forensic analysis of your account statements, communications with your advisor, and the investments in question. We gather the evidence needed to build a powerful and persuasive claim.
- We Fight to Recover Your Money: We will file a formal Statement of Claim with FINRA, initiating the arbitration process. We handle every aspect of the case, from discovery and motions to representing you at the final hearing. Our goal is simple: to recover the maximum amount of your investment losses as efficiently as possible.
The Cost of Inaction: Don’t Accept a Career-Ending Financial Loss
What happens if you do nothing? The advisor and their firm keep your money. They face no consequences for their actions and are free to do the same thing to another unsuspecting athlete. You are left to deal with the fallout: a drastically reduced net worth, a compromised retirement, and the lingering sense of injustice.
Your window to bring a claim is not unlimited. FINRA has strict statutes of limitations. The longer you wait, the harder it can be to gather evidence and the greater the risk that your claim will be barred forever. Taking action isn’t just about getting your money back; it’s about holding the line. It’s about sending a message that you will not be a victim.
Envisioning Success: Reclaim Your Financial Future and Peace of Mind
Imagine a future where this financial anxiety is gone. Imagine holding the negligent advisor and their firm accountable for the damage they caused. Picture yourself recovering the capital you worked so hard to earn, putting it back to work with a team you can truly trust, and securing the financial future you and your family deserve.
This outcome is not a fantasy. It is the reality for many of our clients. With Bakhtiari & Harrison on your team, you can regain control of your financial narrative and turn this devastating loss into a story of justice and recovery.
Don’t let a bad advisor sack your life savings. Make the call.
Take the first step towards getting your money back. Contact Bakhtiari & Harrison today for a free and completely confidential case evaluation.
Follow Bahktiari & Harrison on LinkedIn for current FINRA news.
Frequently Asked Questions for Athletes and High-Net-Worth Individuals Considering a FINRA Claim
What is FINRA? FINRA stands for the Financial Industry Regulatory Authority. It is a private, self-regulatory organization that oversees virtually all brokerage firms and stockbrokers in the United States. It operates the largest dispute resolution forum for investors to bring claims against their brokers.
What is FINRA arbitration? FINRA arbitration is a private, legally binding alternative to suing in court. When you open an account with a brokerage firm, the paperwork you sign almost always includes a mandatory arbitration clause. This means any dispute you have must be resolved through FINRA’s arbitration process, not in a traditional courtroom.
Is FINRA arbitration biased towards the brokerage firms? While brokerage firms might feel they have a “home field advantage,” an experienced FINRA attorney can level the playing field. The arbitrators are supposed to be neutral, and with a powerfully presented case, investors can and frequently do win substantial awards. Having skilled legal representation is critical.
How do I know if I have a valid claim? If you suffered significant investment losses and you believe your advisor engaged in misconduct—such as recommending unsuitable investments, misrepresenting a product, churning your account, or overconcentrating your portfolio—you may have a valid claim. The best way to know for sure is to have your case reviewed by a specialized FINRA attorney.
My advisor said the losses were just due to a bad market. Can I still have a claim? Absolutely. This is the most common excuse brokers use. While market risk is real, your claim is not based on market performance. It’s based on the broker’s misconduct. If the investments were unsuitable for you from the start, you can recover losses even if the entire market went down.
How much does it cost to hire a FINRA attorney like Bakhtiari & Harrison? We handle all cases on a contingency fee basis. This means we only get paid if we recover money for you. Our fee is a percentage of the amount we recover. There are no upfront costs or hourly fees for our legal services.
How long does the FINRA arbitration process take? The process typically takes between 12 and 18 months from the date the claim is filed to the final hearing. However, many cases settle before the final hearing, which can shorten the timeline considerably.
Will my claim be made public? FINRA arbitration is a private and confidential process. Unlike a public court trial, the proceedings are not open to the public or the media. While the final award is publicly available on FINRA’s database, the sensitive details and documents of your case remain private.
What kind of damages can I recover? Typically, you can seek to recover your out-of-pocket losses—the amount of money you invested minus the amount you received back. In some cases, you may also be able to recover interest, attorneys’ fees, and other costs.
Can I bring a claim if I still have an account with the firm? Yes, you can. However, it is often advisable to transfer your account to another institution before or during the claims process. This is a strategic decision you should discuss with your attorney.
What is the statute of limitations for a FINRA claim? FINRA has a strict eligibility rule that states a claim cannot be brought more than six years after the event giving rise to the dispute. There are also various state-level statutes of limitations that may be shorter. It is absolutely critical to act quickly to ensure you do not lose your right to bring a claim.
What evidence do I need to provide? The most important documents are your account statements, which show all the activity in your portfolio. Any emails, notes, or correspondence you have with your advisor are also extremely valuable. Your attorney will help you gather all the necessary documentation.
What if I don’t have all my account statements? Don’t worry. Brokerage firms are required to keep these records. As part of the discovery process, your FINRA attorneys can and will demand that the firm produce all of your historical account statements and other relevant documents.
Will I have to testify? Yes, you will likely need to testify at the final arbitration hearing. However, your attorneys will spend extensive time preparing you for this. Our job is to make sure you are comfortable, confident, and ready to tell your story clearly and truthfully to the arbitration panel.
What are my chances of winning? The outcome of any case depends on its specific facts and evidence. However, having an experienced, specialized FINRA law firm on your side dramatically increases your chances of achieving a successful outcome, whether through a favorable settlement or an award from the arbitrators.
My advisor was a friend. I feel uncomfortable bringing a claim against them. What should I do? This is a common and understandable feeling. It’s important to remember that your claim is technically against the brokerage firm, not just the individual advisor. The firm has a duty to supervise its employees. They are the ones with the deep pockets and the insurance to pay for these claims. You are simply seeking to hold the firm accountable for its failure to protect you.
What is a “breach of fiduciary duty”? Some advisors, such as Registered Investment Advisers (RIAs), are held to a “fiduciary” standard, which is the highest standard of care under the law. It requires them to put your interests ahead of their own at all times. If they fail to do this—for instance, by recommending a high-commission product when a better, cheaper alternative was available—they have breached their fiduciary duty.
Can I recover losses from an investment in a private placement or non-traded REIT? Yes. These are often complex, high-risk, and illiquid products that are frequently sold with high commissions. They are often unsuitable for investors seeking capital preservation and are a common subject of FINRA arbitration claims.
What’s the difference between suing in court and FINRA arbitration? Arbitration is generally faster and less formal than court. The rules of evidence are more relaxed. Instead of a judge and jury, your case is heard by a panel of 1-3 arbitrators. The panel’s decision, known as an “award,” is final and very difficult to appeal.
Why do I need a lawyer who specializes in FINRA arbitration? The rules and procedures of FINRA arbitration are unique and complex. A general practice attorney unfamiliar with this specific forum will be at a significant disadvantage against the highly experienced defense lawyers hired by brokerage firms. You need a specialist who lives and breathes this area of law.
Will the brokerage firm try to settle the case? A large percentage of FINRA claims settle before the final hearing. Brokerage firms often try to settle strong cases to avoid the risk of a large public award against them. Your attorney’s job is to build a case so strong that the firm is compelled to make a fair settlement offer.
What if my broker was not registered with FINRA? Most retail stockbrokers are required to be registered with FINRA. If your advisor was a Registered Investment Adviser (RIA) and not a broker, your dispute might be handled through a different forum, like AAA arbitration or a court lawsuit. An experienced securities lawyer can advise you on the proper venue for your claim.
I have losses in my IRA or 401(k). Can I still bring a claim? Yes. The rules regarding suitability and misconduct apply to all investor accounts, including retirement accounts. Losing money in your retirement account due to bad advice can be particularly devastating, and you have every right to pursue a recovery.
The investments were made several years ago. Is it too late to file a claim? Not necessarily. The six-year eligibility rule is measured from the “occurrence or event giving rise to the claim.” In cases of fraud or misrepresentation, this can sometimes be interpreted as the date you discovered or reasonably should have discovered the misconduct, not just the date of the initial investment. It is crucial to have an attorney evaluate your specific timeline.
What is the first step I should take? The very first step is to contact a qualified FINRA attorney for a free case evaluation. Do not delay. Gathering evidence and building your case takes time, and you do not want to risk having your claim barred by the statute of limitations. Protect your rights and start the process of reclaiming your financial future today.