New York, NY, June 23, 2016 (GLOBE NEWSWIRE) – The Securities Arbitration Law Firm of Klayman & Toskes, P.A. (“K&T”), www.nasd-law.com, announced today that it has expanded its investigation into Merrill Lynch’s (NYSE: BAC) sale of Strategic Return Notes. The SEC and FINRA have collectively levied $15 Million in fines against the firm for failing to disclose material facts in its sales of these structured notes to retail customers.
Each quarter investors were obligated to pay 1.5% in execution costs. According to the SEC and FINRA, Merrill Lynch failed to adequately disclose these costs, making it appear that these fixed costs were lower than they actually were. “The fact that investors were misled with regard to these exorbitant costs is unconscionable. Investment products with hidden annual costs of 6% are not sustainable in any economic environment. Investors should be extremely angry that they were misled with regard to these fees, which were not adequately disclosed by Merrill Lynch,” said Lawrence L. Klayman of the securities arbitration law firm K&T.
The sole purpose of this release is to investigate Merrill Lynch’s conduct with respect to unsuitable recommendations, misrepresentations and omissions, and failure to supervise. Current and former customers of Merrill Lynch who purchased Strategic Return Notes that have information relating to the manner in which the firm represented these products, are encouraged to contact Lawrence Klayman, Esq. or Raymond Gentile, Esq. of Klayman & Toskes at (888) 997-9956, or visit our website at www.nasd-law.com.