Recovering Losses in Oil Stocks

Many investors, particularly seniors, have recently contacted Baldwin Mader Law Group regarding the recent precipitous decline in oil stocks and the significant losses incurred in their portfolios as a result. In many cases entire retirement portfolios have been wiped out. Our California investment fraud lawyers have witnessed this numerous times: many investment advisers concentrated clients in oil stocks on the false premise that oil stocks could not go down. Of course, it is not the fault or the result of any wrongdoing of any investment adviser that he or she failed to foresee the extraordinary decline in the price of oil and oil equities.

Many large oil companies pay handsome dividends attracting retirees seeking safety and income. However, what is actionable and may provide the basis for recovery of losses is when investment advisers negligently concentrate clients in any one industry sector- in this case oil. A cardinal rule of investing is not to concentrate investments in any one sector. That rule holds true even if you are invested in multiple companies in the same industry sector- in this case the oil sector.

If you believe you have been concentrated in any one industry and have incurred losses as a result, please call the California investment fraud lawyers at Baldwin Mader Law Group to learn what you can do to potentially to recover your losses.