A very sly way for stockbrokers to tout investments is to send their clients clippings from newspaper or magazine articles featuring flattering discussions of an investment opportunity which may be obtained by phoning the broker.  This is a way that a broker can recommend an investment, and make representations about it, that seem to come from a third party that is objective and has nothing to gain.  What most people don't know is that many newspapers and magazines will actually exchange a favorable article for the purchase of advertising, or the outright payment of cash.  In fact, at present in our country, it is probably legal for an investment promoter to buy advertising, or pay money, in exchange for favorable treatment in an article.  This happens every day and is just reflects the economic realities, magazines and newspapers are normally out for a profit.

So if you invested in a turkey that was inaccurately reviewed in an article sent to you by your broker, you may wish to consider a claim against your broker.  That is because the broker is liable to you if he or she had reason to know that the article was not accurate, and also, a broker has an independent obligation to investigate an investment, it is not sufficient just to pass on questionable news articles to the client.

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