It is being reported that a class action lawsuit over leveraged and inverse exchange-traded funds against ProShares has been dismissed.
The suit, apparently filed in 2009, was recently dismissed by the U.S. District Court for the Southern District of New York. According to the reports, the court rejected the plaintiffs’ claim that certain risks associated with holding leveraged and inverse ETFs for periods longer than one day were omitted from the disclosures set forth in the registration statements.
Now that the class action lawsuit has been dismissed, investors who suffered losses in ProShares will likely be looking at alternative ways to recover their losses. One such way is through a FINRA arbitration claim against the financial advisor or broker-dealer that recommended the ProShares investments. Brokerage firms and financial advisors may be liable for failure to disclose the full risks of these investments.
The White Law Group continues to investigate such claims on behalf of investors. To discuss your litigation options, please call the securities attorneys of The White Law Group at 312/238-9650 for a free consultation.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Boca Raton, Florida. For more information on The White Law Group, visit http://www.whitesecuritieslaw.com.