Categorized | Featured Stories, Legal

Breaking: Colorado Says Stifel Didn’t Disclose Auction-Rate Risks

Colorado’s Securities Division Staff has filed a complaint against St. Louis based broker-dealer Stifel, Nicolaus & Company alleging that Stifel Nicolaus falsely represented auction rate securities as liquid, short-term investments to Colorado investors without discussing the risks.
Colorado Securities Commissioner Fred Joseph said these representations “gave investors a false sense of security that the investments would always be liquid when auction rate securities, in fact, faced significant, inherent liquidity risks.”


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