Soreide Law Group Files FINRA Arbitration Against HILLIARD LYONS Due to Alleged Over-Concentration in Breitburn Energy

Soreide Law Group recently filed a FINRA arbitration on behalf of their clients (Claimants) against:
J.J.B. HILLIARD, W.L. LYONS, LLC (HILLIARD LYONS)
The Claimants, a married and retired couple from Kentucky, both maintained their IRA accounts and one joint account with a HILLIARD LYONS registered representative. The Claimants were looking to maintain a conservative portfolio with a primary goal of preserving their capital and living off the income generated from their investments to sustain them through retirement.
On or about 2013, their HILLIARD LYONS broker allegedly began buying large concentrated positions in Breitburn Energy Partners. The Claimants were wholly reliant upon the broker for all investment advice and followed his recommendation to invest in Breitburn.  Breitburn has now filed for bankruptcy and the Claimants have lost approximately $60,000.
The purchases began in 2012 and continued through 2014. The Claimants called to raise their concerns multiple times about the decline in Breitburn, and each time they were allegedly told to either hold or buy more.
HILLIARD LYONS should have known that the Claimants were conservative investors and not recommend such an unsuitable investment. The Claimants other investments, which were less than $250k total, were mostly in annuities and CDS.
Allegedly, no one from HILLIARD LYONS ever made any attempt to build a diversified portfolio to protect the retirement savings of these two retirees. There was also no hedging or stop loss strategy implemented in the account and they allegedly over-concentrated the Claimants’ account in on one idea that has now cost the Claimant over $60,000 of their irreplaceable retirement savings. Over concentrated positions in oil investments is totally unsuitable for senior citizens.
The lawusuit alleges that HILLIARD LYONS and their representative’s actions have caused Claimants damages of approximately $60,000.00.

The lawsuit also alleges negligence, breach of fiduciary duty, negligent supervision and breach of contract.

If you also experienced losses due to HILLIARD LYONS and/or their registered representatives’ actions or recommendations, call Soreide Law Group for a no-cost consultation with a Securities Lawyer regarding the possibility of recovering your losses at:  888-760-6552.

Soreide Law Group represents clients nationwide before FINRA.  We operate on a contingency fee basis.