Hancock Park Corporate Income: Lawsuit Investigation

Concerned About Hancock Park Corporate Income Investment Losses?

The White Law Group is currently investigating potential securities claims involving Hancock Park Corporate Income Inc. These claims typically involve brokerage firms that may have improperly recommended high-risk private placements like Hancock Park Corporate Income, potentially without fully disclosing the risks involved.

What is Hancock Park Corporate Income, Inc.?

Hancock Park Corporate Income, Inc. is a closed-end business development company (BDC) that focuses on investments in middle-market companies across the United States. The firm typically offers senior secured loans, including first-lien, second-lien, unitranche loans, and subordinated debt. According to Bloomberg, the company targets companies in need of structured debt solutions.

In 2019, the company reportedly filed a Form D with the SEC to raise capital through private placement offerings. Investments such as these are often sold by FINRA-registered brokerage firms, typically in exchange for high up-front commissions and fees. According to its Form D, the company was structured with approximately 7% in sales commissions and an additional 3% in dealer manager fees.

The Risks of Investing in Private Placements

Private placement offerings can be extremely risky and illiquid. These types of investments are often unregistered securities that lack the regulatory oversight and investor protections of more traditional investments like publicly traded stocks or mutual funds. High commissions and fees often create conflicts of interest, incentivizing brokers to sell unsuitable investments to retail investors.

Potential Claims Against Broker-Dealers

The White Law Group is investigating whether brokerage firms may have failed in their due diligence obligations when recommending Hancock Park Corporate Income to investors. FINRA rules require that firms have a reasonable basis for recommending any investment and ensure it is suitable based on the investor’s risk tolerance, financial needs, and investment objectives.

Firms that fail to meet these duties may be held liable for investment losses through FINRA arbitration claims.

If you invested in Hancock Park Corporate Income at the recommendation of a financial advisor and are concerned about your losses, you may have recovery options.

Free Consultation with a Securities Attorney

To learn more about your potential claim or to speak with a securities fraud attorney, contact The White Law Group at 888-637-5510 for a free consultation.

The White Law Group is a national securities arbitration and investor protection law firm with offices in Chicago, Illinois and Seattle, Washington. We help investors nationwide to recover investment losses due to broker misconduct and unsuitable investment recommendations.

For more information on our firm and FINRA arbitration, visit https://whitesecuritieslaw.com.

Frequently Asked Questions (FAQs)

1. Is Hancock Park Corporate Income a safe investment?
Investments in Hancock Park Corporate Income involve a high degree of risk, especially due to their structure as private placements. These offerings are often illiquid, lack transparency, and are generally not suitable for conservative investors.

2. How do I know if my broker conducted due diligence before recommending this investment?
Broker-dealers are legally obligated to conduct reasonable due diligence before recommending any investment. If your advisor failed to explain the risks or if you believe the investment was unsuitable for your financial profile, you may be eligible to file a FINRA arbitration claim.

3. Can I recover losses from Hancock Park Corporate Income?
Possibly. If your financial advisor or brokerage firm recommended this high-risk investment without properly assessing your risk tolerance or financial goals, you may be able to recover your losses through FINRA arbitration. Contact The White Law Group to evaluate your potential claim.