Regulatory Authority Suggests Review of Brokerage Statements

The nation’s largest independent regulator of securities firms doing business in the U.S. reminds investors to regularly review their brokerage account statements and trade confirmations.

The Financial Industry Regulatory Authority (FINRA) points out periodic reviews of these documents help you stay on top of your investment holdings; provide valuable information that can alert you to errors; and, even alert you to misconduct by your broker or brokerage firm, such as unauthorized trading or overcharging for handling transactions.

FINRA recently issued an alert designed to guide investors through the key elements of their brokerage account statements and trade confirmations, and to provide tips that can help avoid problems. The full alert, which contains valuable information and tips for reviewing these documents, is found at www.finra.org.

“Investors should review their statements carefully — and immediately call the firm that issued the statement or confirmation about any transaction or entry they do not understand or did not authorize,” it is noted in the alert. It is also suggested that any oral communication be put in writing afterwards.

FINRA's mission is to protect America's investors by making sure the securities industry operates fairly and honestly. In all, FINRA oversees nearly 4,450 brokerage firms and approximately 629,755 registered securities representatives.

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