Investment Recovery Professionals

Fighting Investment Fraud and Financial Abuse

Articles

Schwab Yield Plus Like A Money Market? Not!

Charles Schwab marketed its popular Schwab Yield Plus funds as money market equivalent. That was misleading.

Schwab representatives told investors that the Schwab Yield Plus Fund (SWYPX and SWYSX)  fund provided a slightly better return than money market rates, but with minimal fluctuation in its value.  Our clients, like many other Schwab investors, relied on those statements and put money into the Yield Plus funds that would otherwise have gone safely into CDs or money market funds.  Now, it has come to light that Schwab changed the investment policies for the funds, and invested them into risky securities, including mortgage backed securities. The funds have plummeted in value as a result.   Investors who thought they were doing the right thing by keeping  their investments safe now face substantial losses. 

A class action lawsuit has been filed in California, and that case is in its early stages.  In our experience, however, individuals willing to hire their own investment fraud lawyers and file their own claims  in a FINRA arbitration will almost always have a better chance of recovering more of their losses than they would by passively participating in a broad class action over which they have no control.  We urge investors with Schwab Yield Plus losses to Contact Us or fill out our Free Evaluation to find out what is best for you. 



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What People are Saying

"This was an extremely well-tried arbitration and the attorneys for both Claimants [Banks] and Respondent . . . are to be commended for their exceptionally top-quality presentations and advocacy. The Panel is aware of no other arbitration which has been favored with such an extensive array of evidence and legal briefing as it was privileged to receive over the eleven session hearing."
- Quote From FINRA Arbitration Award

Actual Quote. Any result that we may achieve on behalf of one client in one matter does not necessarily indicate that similar results can be obtained for other clients.

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