You can sue your financial adviser for bad financial advice, such as:

• recommending a risky strategy that was not appropriate for someone in your circumstances
• failing to do an adequate assessment of your circumstances, needs and objectives
• failing to assess your tolerance for risk
• failing to warn you of the risks associated with the investments and investment strategy
• failing to monitor investments and respond to changing economic circumstances
• failing to explain the interest payable on loans taken out to make investments
• failing to diversify investments and spread risk across different sectors and industries
• failing to recommend investments that pay high commissions to the adviser when other investments were more appropriate
• ‘churning’: the process when too many trades are made, leading to high fees and commissions
• failing to conduct an analysis to see how you’re likely to be affected when markets fall
• failing to disclose information and provide relevant documents, including a Financial Services Guide, Product Disclosure Statement, and Statements of Advice
• advising you to take out loans which you could not afford
• progressing with the investment when the recommendations and risks have not been fully explained and understood
• recommending a strategy when you don’t have a secure source of income or sufficient resources/cash flow to fund repayments for investment loans (without relying on income from the asset that is invested)
• failing to implement the plan appropriately
• failing to review and revise the plan at regular intervals.