(888) 637-5510

Written by 4:51 pm Blog, Current Investigations

Cawley NNN Fund I LP – Securities Investigation

Cawley NNN Fund LP

Recover your Investment Losses in Cawley NNN Fund LP

The White Law Group is investigating potential claims involving broker dealers who may have unsuitably recommended Cawley NNN Fund LP to investors.

According to a Form D filed with the SEC, Cawley NNN Fund I LP was launched in Dallas, Texas in 2010. The note was sold to investors as a private placement offering, and attempted to raise $10 million. The Form D indicates that the Cawley NNN Fund I LP offered a 7% commission to broker dealers that sold the investment.

Private placements are not publicly traded investments. This type of investment opportunity is often used by small companies to raise capital. Private placements are not required to register with the Securities and Exchange Commission (SEC) so long as they comply with industry rules. These investments lack the same regulatory oversight as stocks or bonds. They also carry considerably higher risks than stocks sold on a public market like the New York Stock Exchange.

The Risks of Private Placements

Private placements are high risk and illiquid investments intended for sophisticated and institutional investors. They are not appropriate for most investors.

Unfortunately, the high commissions associated with private placements sometimes provides enough incentive for broker dealers to overlook suitability requirements when selling the investments to their clients.

Broker dealers are required by the Financial Industry Regulatory Authority (FINRA) to sell private placements only to accredited investors that meet suitability standards. The investors’ age, risk tolerance, net worth, investment experience, etc.  and a number of other factors should be taken in to consideration to determine if an investment recommendation is suitable. Broker-dealers that overlook FINRA suitability requirements can be liable for investment losses through FINRA arbitration.

FINRA operates the largest securities dispute resolution forum in the United States, and has extensive experience in providing a fair, efficient and effective venue to handle a securities-related dispute.

Have you suffered losses investing in Cawley NNN Fund I LP? If so, The White Law Group may be able to help.  Please contact The White Law Group at 888-637-5510 for a free consultation with a securities attorney.

The White Law Group, LLC is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.

For more information on The White Law Group, visit https://whitesecuritieslaw.com.


Tags: , , , , , , , , , , , , Last modified: March 14, 2024