Investor Alert: Private Placement and “Alternative Investment” Fraud Abounds

As conservative and retired investors continue to seek income producing investments in this low interest rate environment, various Wealth Management and Financial Planning firms have ramped up marketing and sales of complex, commission rich and risky “Alternative Investments.”  Securities regulators, such as FINRA, have warned brokers and investment professionals that “Alternative Investments,” such as Tenant In Common Real Estate offerings (TICs), Non-traded REITS and Business Developments Companies – all sold through “Private Placement” offerings – are suitable for most, if not all, retail investors.  Representative of the real estate syndication industry admit to the outright fraud of promoters amongst their association.  However the benefit of huge commissions paid to financial planners and brokers for selling these unsuitable products has encouraged continuing unlawful sales of “Alternative Investments” and has caused devastating losses to retirees and conservative investors alike.

For more information, please visit The Law Offices of Mitchell Ostwald online

This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply