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They sold them without your consent? In a cash account? Or margin (and not fully paid)? If the former, I'd be personally looking into recourse, or at least re
by cykros 4y ago
They sold them without your consent? In a cash account? Or margin (and not fully paid)? If the former, I'd be personally looking into recourse, or at least reading any agreements you have on file, because nothing about that sounds remotely above board (though brokerages are known for staying pretty on top of regulations with pretty sizeable legal teams). Asking that you transfer it off the platform is one thing; selling something you custody with them without your permission, on the other hand, exposes you to market risk and ultimately sounds like it's in violation of at least a few rules, given they've not been given discretionary authority in the account.
Some industries get to get away with making a lot of their own decisions there and just shooting themselves in the foot if they feel like it, but with the thick regulations in the capital markets, this sounds like an overreach. They can kick YOU off the platform, but even when doing that, they typically need to leave your securities alone in an account that you still get to choose when to sell.