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by Mike Caswell

RBC Dominion Securities Inc. denies that it did anything wrong in handling the accounts of Christopher Devocht, a Vancouver Island man who is suing the firm after losing his entire $415-million portfolio. RBC says that Mr. Devocht's losses arose after he ignored the firm's repeated advice to place his money into a conservative portfolio. Instead, Mr. Devocht pursued an "all or nothing" options strategy that centred entirely around the price of Tesla Inc.

The denials from RBC come in response to a lawsuit that Mr. Devocht filed in the Supreme Court of British Columbia on Oct. 1, 2024. Mr. Devocht, a resident of Sooke, B.C., claimed that RBC failed to properly advise him against his concentrated exposure to Tesla. Despite his "extraordinary wealth," RBC's planning advice encouraged and rewarded such concentration, he complained. His portfolio collapsed in 2022 as Tesla suffered a series of declines, and he had to unwind his holdings to repay his margin account, he said.

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