Have you suffered losses investing in NorthStar Realty Finance Corp.? If so, the securities attorneys of The White Law Group may be able to help you recover those losses in a FINRA arbitration claim against the brokerage firm that recommended the investment.
NorthStar Realty Finance Corp. is a commercial real estate company that is organized as a REIT. The Company makes investments in commercial real estate properties.
On January 10, 2017, Colony NorthStar, Inc. announced the completion of the merger of Colony Capital, Inc., NorthStar Asset Management Group Inc. and NorthStar Realty Finance Corp. which was previously announced on June 3, 2016 and approved by shareholders of the companies on December 20, 2016. Colony NorthStar, Inc. was created following the merger of the companies and currently has approximately $58 billion in assets under management, including publically traded and non-traded REITs and 1940 Act Companies.
NorthStar Realty Finance Corp. had an enormous decline in 2015, according to reports, and it appears to be in part due to large sales by hedge funds during the end of 2015. One such report indicates that “[h]edge funds are reducing their stakes in the REITs as market turmoil has caused some of the funds to struggle with liquidity issues.”
These rapid declines highlight the risks of REITs. The White Law Group has handled a number of REITs cases over the years and in many cases financial advisors fail to disclose the risks of these products (instead focusing on the potential income provided by the investments).
Brokerage firms that sell such products are required to perform adequate due diligence on the investments to ensure a reasonable likelihood of success, and to evaluate whether the investments are suitable in light of the client’s age, net worth, investment experience, and investment objectives. Firms that fail to perform adequate due diligence, or that make unsuitable recommendations, can be held responsible for losses in a FINRA arbitration claim.
If you suffered losses investing in NorthStar Finance Corp. and would like a free consultation with a securities attorney, please call The White Law Group at (888) 637-5510.
The White Law Group is a national securities arbitration, securities fraud, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.
For more information on The White Law Group, visit www.WhiteSecuritiesLaw.com.
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