Citigroup, Inc. (NYSE:C)
Historical Stock Chart
2 Years : From Jun 2011 to Jun 2013
The Securities Arbitration Law Firm of Klayman & Toskes, P.A. (“K&T”), www.nasd-law.com,
announced today that it is investigating claims on behalf of Citigroup,
Inc. (NYSE: C) shareholders who sustained investment losses due to an
over-concentration of Citigroup stock. Since 2007, Citigroup has
declined about 90% and is now trading at a split adjusted price of about
$32 per share. On May 9, 2011, Citigroup effected a 1-for-10 reverse
stock split on its common stock.
Since 2000, K&T has pioneered the representation of High Net Worth
(“HNW”) and Ultra-HNW clients who sustained investment losses as a
result of holding concentrated positions in a single security or sector,
in a full-service brokerage account. The clients we represented and
continue to represent include founders of public companies and key
employees from virtually every industry who received large grants of
stock options or Rule 144 restricted stock. The claims, filed in the
Financial Industry Regulatory Authority (“FINRA”) Arbitration Department
f/k/a NASD and NYSE, focused on the mismanagement of the clients’
portfolios given the fact that there were risk management strategies
that would have protected the value of the concentrated portfolio. Such
risk management strategies include stop loss and limit orders,
protective puts and collars. Stop loss orders, limit orders and
protective puts provide an account with downside protection and an exit
strategy should the stock decline in value. A hedge strategy, known as a
“zero cost” collar, would have created a range of value that the
portfolio would have maintained irrespective of the fluctuation and
direction of the underlining stock price. The failure to use risk
management strategies as well as the failure to “hedge” the value of a
concentrated portfolio directly exposes an investor’s concentrated
position to the fluctuations in the volatile securities markets.
If you wish to discuss this announcement or sustained losses of
$1,000,000 or more as a result of holding a concentrated position in
Citigroup stock, please contact Steven D. Toskes, Esquire or Jahan K.
Manasseh, Esquire of Klayman & Toskes, P.A., at 888-997-9956, or visit
us on the web at http://www.nasd-law.com
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