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You may have lost money in your investment portfolio,
due to mismanagement and not even know it.

Obviously, Finra feels strong need to police bad brokers

Regular readers of our securities law blog across California and elsewhere note well from our routinely posted entries that there is a most notable problem with bad-faith investment brokers across the country.

For starters, there are far too many of them. Additionally, the smart ones among them -- that is, those whose ruses aren't discovered until many investors have been financially harmed -- engage in a baffling array of unlawful schemes aimed at personal enrichment through the defrauding of innocent third parties.

And then there's this: Many of those con artists live to defraud another day. That is, the sanctions applied against them are often not stringent enough to keep them away from the financial industry and the innocent consumers they seek to fleece.

Finra -- the Financial Industry Regulatory Authority, which regulates most of the nation's investment brokers -- knows well that it has a dire problem on its hands with criminal actors, and has recently taken resolute action to tackle it.

To wit: The agency has reportedly given a ranking -- from conscientious and credible right down to a high-risk assessment -- to every one of the approximately 634,000 brokers it oversees. It is looking closely at things like employment history and past disciplinary actions in order to better identify "rogue" brokers who are most likely to harm investors who impose trust in them -- often along with hard-earned cash.

Hopefully the authority's new strategy yields positive results. Those are badly needed in an industry where a Ponzi scheme or other investment fraud can quickly wipe out a lifetime of savings.

No investor who suspects bad-faith conduct on the part of an adviser need wait passively for Finra to discover that fact and take action -- if that in fact happens at all.

Questions or concerns regarding broker misconduct can be directed to a pro-investors' securities law attorney, who can take prompt and aggressive action to uncover wrongdoing and secure a meaningful legal remedy against it.

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