(888) 637-5510

Written by 8:10 pm Blog, Securities Fraud Articles

Investor Alert: Aequitas Private Notes

Have you suffered losses investing in Aequitas Private Notes? If so, the securities attorneys of The White Law Group may be able to help you recover your losses through a FINRA arbitration against the brokerage firm that recommended the investment.

Aequitas Private Notes is a secured subordinated promissory note. The subordinated debt offering was not registered with the Securities and Exchange Commission (SEC) but rather the company filed for exemption from such regulations.

In general unregistered securities involve significant risk, largely due to the lack of regulatory oversight. Aequitas Private Notes are no exception. According to the subscription agreement, the Aequitas subordinated promissory note was an investment involving a high degree of risk.

Furthermore, the subscription agreement clearly states that there are no assurances that Aequitas will obtain its projected goals for operating results, investment and return on investment. The subscription agreement also states that the Aequitas Private Notes are illiquid and that there is no market to easily sell or exchange subordinated debt. As such, investors looking to get out of Aequitas private note will likely have difficulty finding a buyer (particularly in light of all of the recent negative news associated with Aequitas).

The subscription agreement also makes clear that Aequitas Notes were intended for sophisticated investors – investors that had the knowledge and experience in business matters to adequately evaluate the merits and risks of investing. Investors should also have had adequate net worth and had no need for liquidity with respect to Aequitas Notes

Unfortunately many investors relied heavily on the recommendation of their financial professional who may have failed to disclose the high level of risk associated with Aequitas. As such, The White Law Group is investigating the liability that such independent brokerage firms may have for unsuitably recommending Aequitas investments.

Brokerage firms that mislead investors or overlooked suitability requirements and industry regulations may be liable for investment losses. If you invested in Aequitas Notes or another Aequitas offering and would like to discuss your litigation options, please call the securities attorneys of The White Law Group at (312)238-9650 for a free consultation.

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Franklin, Tennessee.

For more information on The White Law Group, visit www.whitesecuritieslaw.com.

Tags: , , , , , , , , , , , , , , , , , , , Last modified: December 15, 2022