Written by 8:13 am Blog, Securities Fraud Articles

Recovery of Northstar Real Estate Income Trust Investment Losses

According to a recent Investment News report, real estate investment trusts that buy mortgage debt slumped recently after a better-than-forecast employment report stoked speculation that the Federal Reserve may begin to reduce the size of its asset purchases and/or allow for interest rates to rise.

A Bloomberg index of shares in the REITs tumbled 3.9 percent at the end of trading day on Friday, the biggest drop since October 2011.

Upon information and belief, Northstar Real Estate Income Trust invests in mortgages and, therefore, may also be exposed to a price devaluation based on the Federal Reserve’s economic policies.

Brokerage firms that recommend mortgage REITs (like with any other investment they recommend) are required to perform due diligence on the investment before recommending it and to ensure that the investment is suitable for a particular investor in light of that investor’s age, investment objectives, income, net worth, and investment experience.  Given the current risk of devaluation of these REITs, such investments are likely only suitable for wealthy and/or sophisticated investors.

If you have suffered losses in Northstar Real Estate Income Trust, please call the securities attorneys of The White Law Group at 312/238-9650 for a free consultation.

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

For more information on the firm, visit https://whitesecuritieslaw.com.

Tags: , , , , , Last modified: July 17, 2015