04 Oct Louis Navellier and Navellier & Associates, Inc.— Alleged False Performance Claims in Advertising Materials
Louis Navellier and Navellier & Associates, Inc. Allegedly Issued False Performance Claims in His Advertising Materials
Louis Navellier and Navellier & Associates, Inc. from 2010 to 2013, Mr. Navellier allegedly defrauded their clients and prospective clients, by purportedly misleading them regarding the performance track record of the “Vireo AlphaSector” investment strategies that the firm offered under the “Vireo” brand name, according to an SEC Complaint currently under review by attorneys Joe Peiffer and James Booker.
Investors who believe they may have lost money in activity related to Louis Navellier’s alleged false performance claims in advertising materials are encouraged to contact attorneys Joe Peiffer or James Booker with any useful information or for a free, no obligation discussion about their options.
The Peiffer Wolf securities lawyers are currently investigating Louis Navellier’s alleged false performance claims in advertising materials.
Mr. Navellier and his firm allegedly made a breach of their fiduciary duty to clients and prospective clients by purportedly ignoring and concealing red flags that should have given them alerts stating that the investment strategies had not performed as stated in the advertisements, according to the aforementioned Complaint filed in federal court in Boston, Massachusetts.
What is more, Navellier & Associates allegedly handed out materially false advertisements and client communications regarding the performance track record of the investment strategies, the Complaint states.
Furthermore, Navellier and his firm allegedly came to realize that their misrepresentations could get them in legal trouble, and they allegedly sold the Vireo line of business in August 2013 for $14 million, instead of allegedly correcting their prior misrepresentations to their clients or informing their clients about their conflicts of interest in selling the Vireo business, the Complaint notes.
Navellier & Associates’ Ads Allegedly Claimed that Invested Client Assets Had Significantly Outperformed the S&P 500 Index from April 2001 to September 2008; Said Performance was Allegedly an Overstate Claim
Navellier & Associates’ advertisements allegedly claimed that client assets had been invested in the investment strategies from April 2001 to September 2008 and that said strategies had purportedly significantly outperformed the S&P 500 Index from April 2001 to September 2008, the Complaint notes.
In truth, no client assets allegedly had tracked the strategy from April 2001 through September 2008, and even as a back-test the alleged claim performance was substantially overstated, the Complaint reports.
Securities Lawyers Investigating
The Peiffer Wolf securities lawyers often represent investors who lose money as a result of investment-related fraud or misconduct and are currently investigating Louis Navellier’s alleged false performance claims in advertising materials. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.
Investors who believe they lost money as a result of Louis Navellier’s alleged false performance claims in advertising materials may contact the securities lawyers at Peiffer Wolf, Joe Peiffer or James Booker, for a free no-obligation evaluation of their recovery options, at 504-523-2434 or via e-mail at [email protected] or [email protected]