Wealth Management Firm Also May Have Sold ARC NYC REIT, NorthstarHealthcare Income REITs, and Other Illiquid Securities
Wealth management solutions holding company, Atria Wealth Solutions, Inc. recently announced that it is acquiring SCF Securities, which is a brokerage firm based in Fresno, California. Also included in the acquisition will be SCF Investment Advisors, Inc. and SCF Marketing, Inc. The deal is expected to be finalized by the middle of 2021.
Our alternative investment fraud lawyers at Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) are currently investigating SCF Securities over its sale of:
- GPB Capital private placements
- ARC NYC Real Estate Investment Trusts (REITs)
- NorthstarHealthcare Income REITs, and other privately traded, illiquid securities
Many investors of these products are reporting significant investment losses. Call our experienced securities fraud lawyers at (800) 259-9010 today if you believe you were misled by a financial advisor or broker.
Problematic Investments: Why Investors Need to Be Wary of Alternative Investments
Alternative investments have become more popular with retail investors in recent years but this does not mean that they are suitable for everyone. Unlike traditional investments, this type of investment is complex, liquid, and subject to limited regulation. They also tend to be more high-risk and volatile than other investment strategies.
Our investment fraud attorneys have been investigating numerous alternative investment products in recent months including those products mentioned above. Not all alternative investments are unsuitable, but that isn’t to say that losses you incurred were not a result of broker negligence or misrepresentation.
GPB Capital Accused of Operating Over $1.7B Ponzi Scam
GPB Capital Holdings, a New York-based alternative asset firm, is accused of operating a Ponzi scheme that defrauded over 17,000 investors.
Broker-dealers that sold GPB private placements collectively made over $160M in commissions from marketing them to customers. SCF Securities and Western International Securities, which Atria acquired last year, are two of the more than sixty broker-dealers whose registered representatives marketed investments in the GPB funds to their customers.
ARC NYC REIT Investors Suffer Huge Losses
American Realty Capital New York City Real Estate Investment Trust (ARC NYC REIT) was originally a non-traded REIT that went public on the New York Stock Exchange (NYSE) last year. Its share price dropped significantly and investors suffered losses as high as 80%.
NorthStar Healthcare Income Non-traded REIT Distributions Suspended
Investors of NorthStar Healthcare Income Non-traded REIT have had to deal with suspended distributions as well as growing evidence that this healthcare real estate portfolio may never have been profitable. Despite its claim in 2019 that it had over 630 properties in its portfolio valued at over $2.4B, what has been reported as profit may have been investor returns.
Experienced Alternative Investment Fraud Lawyers
Unfortunately, there are broker-dealers and their registered representatives that fail to ensure that an investment is suitable for their customers’ risk tolerance levels and financial goals. SSEK represents investors in recovering their alternative investment fraud losses. Call us at (800) 259-9010 today.