As a previous post on this blog discussed, the number of class action lawsuits related to securities and securities fraud rose in 2013. While this increase may be a sign of increased wrongdoing on behalf of those entrusted with investor money or increased awareness of such wrongdoing, another number may be a good sign for wronged investors. Class action settlements increased in 2013 to 17.5 percent, recovering $4.8 billion for investors. This 46 percent increase over 2012 is the highest recovery amount since 2007.
Some experts credit settlements of $100 million or more with increasing the overall total as there were six such agreements reached in 2013. Additionally, the number of class action settlement in 2013, 67, remained high as lawsuits stemming from mortgage-backed securities continue to be filed.
Those who have lost money investing know that entrusting money to another can leave an individual vulnerable. Though laws strictly forbid financial professionals from acting in their self-interest, this type of action is taken all too often, leaving investors cheated out of their money. When this happens, an investor may be left without a retirement that he or she worked decades to build.
As evidenced by the recently released report discussed above, investors may be more likely to recover losses caused by negligent or reckless financial professionals. In many instances, filing a class action lawsuit is the best way to do this. The process, however, can be quite complex. A Texas legal team with experience handling class action lawsuits can be invaluable for investors, guiding them through the process and aggressively fighting for their best interests. Hopefully then, investors can recover their money and rest assured their financial health is protected.