Articles Tagged with Flaws in the Retail Sales

35 percent of structured products at the firms investigated were liquidated below 80 percent of their face value, allegations of unsuitable recommendations and sales limit abuse raised

The Securities and Exchange Commission reported Monday that it has spotted failures in many broker-dealers controlling the retail sales of structured products, leading to unsuitable recommendations and potential abuse of limits to sales.

Structured products, according to Investopedia, are the result of taking traditional securities and replacing their typical payment features with other features that are meant to make an investor’s risk-return objectives more customizable than they would be with only traditional securities.