KlaymanToskes Represents Multiple CMCT Investors in FINRA Arbitration Claims for Unsuitable Investment Recommendations
NEW YORK, NY / ACCESS Newswire / January 23, 2025 / National investment loss and securities law firm KlaymanToskes announces the expansion of its investigation and legal representation for Creative Media & Community Trust (NASDAQ:CMCT) investors seeking to recover losses due to unsuitable investment recommendations by their brokerage firms and financial advisors. Investors who suffered losses of $100,000 or more in CMCT as a result of a recommendation by their broker/investment advisor should contact the law firm immediately at 888-997-9956. Investors with self-directed accounts who did not rely on the advice of a financial advisor are not eligible for our representation.
CMCT’s stock has plummeted 97% over the past year, falling to $0.69 per share recently. Many investors suffered substantial financial losses following CMCT’s preferred stock redemption in the second quarter of 2024, when approximately 25% of outstanding preferred shares were converted into common stock. Due to limited liquidity options, many investors were forced to accept common stock rather than cash, leading to additional devaluation of CMCT shares.
KlaymanToskes is representing numerous investors around the nation in FINRA Arbitration claims against the brokerage firms and financial advisors that unsuitably recommended investments in CMCT to their customers. It is the law firm’s opinion that these brokerage firms and their representatives may have failed to act in the best interest of their clients by failing to disclose the liquidity risks associated with CMCT’s preferred stock redemption.
Financial advisors and their firms must act in the best interest of their customers and are responsible for providing suitable investment advice. Investment firms may be held liable for any losses incurred by their customers if they fail to act in best interest of their customers, make unsuitable investment recommendations, misrepresent or omit material facts, and/or overconcentrate the customer’s portfolio in one particular investment, class, or market sector. Further, financial professionals and their firms cannot disregard a customer’s risk-tolerance when making investment recommendations.
Investors who suffered investment losses in Creative Media & Community Trust Corporation (NASDAQ: CMCT) due to unsuitable recommendations by their brokerage firm/financial advisor are encouraged to contact attorney Steven D. Toskes at (888) 997-9956 or by email at investigations@klaymantoskes.com in furtherance of our investigation.
About KlaymanToskes
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration and litigation on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.
Contact
KlaymanToskes, P.A.
Steven D. Toskes, Esq.
888-997-9956
investigations@klaymantoskes.com
www.klaymantoskes.com
SOURCE: KlaymanToskes, P.A.
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