Account activity that exceeds the investment profile and risk tolerance of the customer is deemed excessive activity. A brokerage firm's primary motivator in generating account activity is to generate outsized trading commissions in the customer's account.
To establish a claim of excessive activity typically requires an account analysis and calculation of annualized turnover rates and rates of return required for an account to break even to cover the commissions charged by the brokerage firm.
Top of Page
The Importance of Selection of Counsel
The retention of an attorney is an important decision made with great care. Please review our web site and examine our experience and credentials.