Securities law firm Carmel, Milazzo & DiChiara LLP (“CMD”) is investigating 13 management firms over investments of client money into AlphaSector Exchange Traded Funds (“ETFs”). The AlphaSector strategy was developed by F-Squared Investments which has since admitted in an enforcement case brought by the United States Securities and Exchange Commission (“SEC”) that its purportedly “real” past performance record was inflated and back-dated.
On August 25, 2016, the SEC announced it has penalized 13 investment management firms for violating the securities laws. The SEC claimed that the firms marketed and recommended the AlphaSector strategy to their clients based on false and misleading advertising about the past track record. The SEC claimed that the firms accepted F-Squared’s false statements and failed to conduct their own investigation of the past performance of the strategy.
The investment management firms penalized by the SEC are:
Congress Wealth Management
Constellation Wealth Advisors
Executive Monetary Management
Ladenburg Thalmann Asset Management
Prospera Financial Services
Risk Paradigm Group
Schneider Downs Wealth Management Advisors
Shamrock Asset Management
If you or someone you know lost money investing in AlphaSector Exchange Traded Funds (“ETFs”), you may be entitled to recover your investment losses through either litigation or arbitration. CMD accepts cases on a contingency fee basis, which means we only get paid if you get paid. Your time to file a claim may be limited, so contact us today at (212) 658-0458 or firstname.lastname@example.org for a free and confidential case evaluation.