Zamansky LLC Files FINRA Arbitration Case Against Stifel Nicolaus & Co. on Behalf of Elderly Investors in Edwardsville, Illinois

NEW YORK, Sept. 12, 2025 /PRNewswire/ -- Zamansky LLC has filed a FINRA arbitration case against Stifel Nicolaus & Co.on behalf of elderly investors in Edwardsville, Illinois. A few months ago, the Easterly ROCMuni High Income Municipal Bond Fund (RMHIX) lost approximately half its value, which was an abrupt crash over the course of just a few days in June that caught many investors by surprise.

Despite the fund's name, Zamansky LLC's investigation learned that it was very high risk, even though it may have appeared to be a safe and conservative municipal bond fund (which are typically very low risk). The fund held "junk bonds" (or low-quality, hard-to-sell investments from smaller, riskier companies) that were not even municipal or state-level bonds. In fact, Zamansky LLC's investigation into the situation found that some of the fund managers may have been overvaluing the junk investments in the fund using inappropriate methods, thereby making the fund appear more valuable and healthy than it actually was. The truth was revealed after the fund value collapsed.

As a result of such a sharp decline, many investors (including retirees) lost substantial amounts of money, potentially more than they could afford to lose. (One victim, who is characterized as an 84-year-old widow, lost about 35% of her life savings.) Upon further investigation by Investment fraud lawyer Jake Zamansky and his team, it was later discovered that Stifel Nicolaus & Co., which sold the fund to investors, may have failed to adequately inform investors about the fund's risk.

The fund was recommended to investors even though it was unsuitable for their investment goals. Examples include investors whose "risk tolerance" was not "high" and/or who told their brokers they wanted conservative, "high-quality" investments, and/or whose "financial needs" or "investment time horizons" required stable, liquid investments. As of July, the fund's total net assets had fallen from more than $230 million to less than $17 million.

About Zamansky LLC

Zamansky LLC is a national investment fraud law firm that represents investors in securities litigation and FINRA arbitration. The firm is recognized for its ability to pursue cases against large investment firms on behalf of aggrieved investors and recover their investment losses.

Contact:

Zamansky LLC
Jake Zamansky, 212-742-1414
[email protected]
https://www.zamansky.com/

SOURCE Zamansky LLC