stockbroker problem!

shellshocknam67

dunstonh wrote: »

Some could be a breach of execution only.

Where could I find information on breaches of execution only?

There is nothing I can find in the FSA handbook.

dunstonh

There is guidance but no rules. The FSA doesn't really work to rules. Its one of the difficulties firms have as you have to interpret those guidelines and some take different interpretations.

I had a look at the FOS publications and they had a number of cases were execution only had been disputed. Some were upheld, some not. However, every single one was based on a transaction carried out and not something that was already in existence. Each one also referred back to the documentation that was given at point of sale.

The comments given relate to something you already have and the stockbroker didn't tell you take out. So, you must already have had an understanding of what you owned. This means a discussion about something you had could fall between advice, opinion, comment, discussion of a generic nature and it depends on how that is interpreted.

You may notice that various stockbrokers websites offer opinions on whether shares should be held/sold/bought. That is not considered advice (otherwise they wouldn't do it). If the stockbroker gave the right warnings in the discussion and used his words carefully then it could be classed as non-advice. Equally, a few wrong words and not enough warnings and it could be classed as advice.

EdInvestor

There is a certain low cost online broker that also has a line in penny shares /smallcaps (IIRC) which it tries to sell to its E/O customers.This broker has been warned at least twice about its activities.

I wonder if it is the same broker (I think CC will know the one I mean).It's not a boiler room opersation but has a similar flavour in some respects - quite high pressure tactics I believe.