During the boom years of the 1990's the stock market and its successes fueled an historic period of prosperity. Average Americans often got into the market via investments made through their retirement accounts. They watched their nest eggs grow with amazement. When the bubble burst, they watched with horror as their savings evaporated.

Of course, economic factors beyond anyone's control contributed to the market's decline. But, as the headlines show us, economics alone are not the only cause of some of the financial losses suffered by both individual and institutional investors. Admissions by companies like Enron, World-Com, and ImClone, and allegations against individuals like Martha Stewart and Jack Grubman indicate that corporate and individual wrong doings contributed to the losses suffered.

To operate as intended, the financial market requires full and fair disclosure relating to corporate operations, financials and all transactions conducted in it. Complex federal laws and regulations, as well as related state laws govern all aspects of the issuance, sale and purchase of stocks and other securities. When federal and state laws and regulations are violated and investors suffer financial losses, they may be able to bring a securities lawsuit.

Securities litigation can be difficult. The agreement an investor has with a broker may place limits on an investor's litigation options. Federal legislation contains strict standards of proof. Accordingly, if you have suffered financial losses because of a securities-based investment and you believe that more than the economy is to blame, it is important that you contact an attorney with experience representing investors to review the circumstance of your individual situation.

Securities Laws

Securities come in a wide variety of forms. Investment vehicles like stocks, mutual funds and bonds all share similar characteristics. As securities, they reflect investments by various individuals and entities in a common enterprise, like a corporation, made with the expectation of deriving a profit. Additionally, as securities, all transactions surrounding these and other related investment tools are controlled by a complex system of federal laws and regulations as well as state statutes.