Because financial markets are inherently volatile, fraud can sometimes be quite difficult to prove. Fraud is usually determined when there’s misrepresentation involved or if the broker/firm withheld any pertinent information that could have affected your buying decision.
Manipulation, Ponzi schemes, and insider trading are just some examples of securities fraud. If you see other stocks in the market performing well but yours are tanking, you are entitled to worry. This doesn’t always prove fraud, however. But if you feel that the drop in your stock value is significant, your broker is avoiding your calls, or if your broker is making a lot of high-risk trades, then something must be up.
If you’ve lost money due to investment fraud, your chances of recovery increase the quicker you act. Make sure to reach out to experienced investor lawyers such as https://investorlawyers.org/ who can advise you on the best course of action to take.