Articles Posted in Investment Terms and Concepts

CMO REIT: South Florida Securities and Investment Fraud, Mismanagement, Misrepresentation, Breach of Fiduciary Duty and Breach of Contract FINRA Arbitration and State and Federal Litigation Attorney: A CMO Reit is a specialize type of Real Estate Investment Trust (REIT) that invests in the residual cash flows of Collateralized Mortgage Obligations (CMOs). CMO cash flows represent…

Chinese Wall – South Florida Breach of Contract, Breach of Fiduciary Duty, Fraud and Misrepresentation FINRA Arbitration and Litigation Attorney: A Chinese Wall is an imaginary barrier between investment banking, corporate finance, and research departments of a brokerage firm and the sales and trading department. Because of the fact that the investment banking side, of…

Securities and Exchange Commission – Form 8-K. There are a number of forms that companies are required to file with the Securities and Exchange Commission such as Forms 10-K, 10-Q and 8-K.  Copies of these documents can be found on the SEC’s Edgar Website.  It is suggested, if the reader is contemplating purchasing, holding of selling an SEC reporting company,…

Fixed-Income Abuse, Fraud and Misrepresentation, Florida FINRA Arbitration and Litigation Attorney: A fixed-income investment refers to a security or other type of investment that pays a fixed return. Types of investments that generally fall within this category are government, corporate, or municipal bonds, which pay a fixed rate of interest until maturity, and to preferred…

Types of Investment Risk and the Average Investor – South Florida Investment and Securities Risk FINRA Arbitration and Litigation Attorney: Generally risk can be described as action or inaction that can lead to a loss of some sort. It can be reduced or eliminated based on the action taken by the person that is exposed…

Investment Strategy – Florida Common Stock and Bond FINRA Arbitration and Litigation Attorney: An “Investment Strategy” is nothing more than a plan to allocate assets among various investment classes such as stocks, bonds, cash or cash equivalents, commodities and real estate. An investment strategy should be based on an investor’s outlook on such things as…

Investment Objective, Risk and Suitability: Why are They Important? An investment objective is, in reality, nothing more than a client’s financial objective, which assists a stock broker in determining what type of investments would constitute a “suitable” recommendation for a client. It is one of the fundamental factors that any attorney looks at in attempting…

Restricted or Lettered Security – Florida Security, Investment and Business State and Federal Court Litigation and American Arbitration Association Attorney: “Restricted” or “Lettered” Security generally describers a stock or bond that is not registered with the Securities and Exchange Commission. Consequently, these securities cannot be sold in the public market. When such a stock or…

Making a Contract, Performing a Contract, Breaching a Contract – South Florida Breach of Contract and Business Litigation Attorney: A contract is a general, agreement by which rights or acts are exchanged for lawful consideration. To be valid, the contract must be entered into by competent parties, must cover a legal and moral transaction, must…

General Partner – Florida Mismanagement, Breach of Fiduciary Duty or Breach of Contract – Commercial and Business Litigation and Arbitration Attorney: General Partner: 1. One of two or more partners who are jointly and severally responsible for the debts of the partnership. 2. Managing partner of a “Limited Partnership,” who is responsible for the operations…