Illinois Tool Works is a fortune 500 company that is based in Glenview, IL, just outside of the city of Chicago. According to records provided by the company, Illinois Tool Works currently employs more than 50,000 people worldwide.
If you are a retired or former employee of Illinois Tool Works, you may have been heavily invested in a 401(k) plan or individual retirement account (IRA). The Summary Plan Description (SPD) for the 401(k) plan sponsored by Illinois Tool Works indicates the specific rights and available investment options that workers have when putting their hard earned money into this retirement plan.
Unfortunately, some Illinois Tool Works employees and retirees have sustained unexpected losses in their retirement account. Certain brokerage firms have been known to target retirees and 401(k) plan participants, pushing these investors into fraudulent or unwise financial products.
Illinois Tool Works: 401(k) Plan Negligence
The investment advisor or brokerage firm that manages the assets you hold within your Illinois Tool Works sponsored 401(k) plan has a professional obligation to provide you with high-quality financial advice. Sadly, financial advisors do not always live up to this basic professional responsibility. If you sustained major losses in your Illinois Tool Works sponsored retirement plan, you may be able to hold the negligent financial advisor or broker-dealer legally responsible for your damages. Specifically, you may have a valid legal claim if:
- Unsuitable investment recommendations were made: Financial advisors must only recommend financial products or investment strategies that are actually suitable for the individual customer who they are advising. When crafting an investment strategy, brokers must consider your age, holdings, financial status, risk tolerance, and investment objectives. If you were pushed into unsuitable investments, your broker may be legally liable for your losses.
- Investments were misrepresented: Brokers must accurately represent the actual investment holdings within your Illinois Tool Works 401(k) plan as well as any prospective investment opportunities. If material misrepresentations or omissions were made, you may have been a victim of investment fraud or broker negligence.
- Your holdings were not properly diversified: In order to limit your risk, your investment holdings should be properly diversified. This is especially important with retirement accounts. You do not want to have all of your eggs in one basket. Brokers can be held legally responsible for the failure to diversify a customer’s portfolio if the customer loses money because of the over-concentration of assets.
- Your financial advisor was negligent: If you are a retired or former Illinois Tool Works employee, and you suffered damages as a result of a financial advisor’s negligence, you may have a viable legal claim.
Fierce Advocates for Investor Rights
At Sonn Law Group, our top-rated investment fraud lawyers work hard to protect the financial interests of investors throughout the country. If you sustained losses due to fraud or negligence, please do not hesitate to contact a member of our law firm today to arrange a free claim evaluation.
Disclaimer: This article contains opinions and NOT statements of fact in any way whatsoever. The information here is general information that should not be taken as legal advice. NO attorney-client relationship is established between you and our attorneys by reading this article. This article is attorney advertising and should not be used as a substitute for legal advice from a qualified securities lawyer.