Investor Alert: Self Storage Fund of America LLC – Regulation D Investigation
Have you suffered losses investing in Self Storage Fund of America LLC? If so, the securities attorneys at The White Law Group are investigating potential claims involving broker-dealers that recommended this Reg D private placement.
About the Offering – Self Storage Fund of America LLC
Self Storage Fund of America LLC, a Delaware limited liability company formed in 2022 and headquartered in Peachtree City, Georgia, reportedly filed a Form D notice of exempt offering with the SEC in June 2022. The company offered equity securities and pooled investment fund interests under Rule 506(c) of Regulation D, raising approximately $510,000 from 9 investors with a minimum investment of $25,000, according to the Form D.
The offering sought to raise up to $10 million. According to the filing, the fund has not yet reported paying any sales commissions, finder’s fees, or compensation to related persons as part of the offering.
Understanding the Risks of Regulation D Offerings
Reg D private placements like Self Storage Fund of America LLC are often marketed as alternative investments offering high yields or diversification. However, these securities are speculative and carry elevated risk—particularly for conservative investors or retirees.
- Illiquidity: There is typically no secondary market for resale—investors may be locked in indefinitely.
- High Commissions & Fees: Broker incentives can be significant, reducing overall returns.
- Lack of Transparency: These offerings provide limited public financial data, making it difficult to evaluate investment performance.
- Manager Conflicts of Interest: Payments to sponsors or affiliates can reduce net investor proceeds.
Broker Due Diligence Obligations
FINRA-registered broker-dealers are obligated to conduct reasonable due diligence on private placements before offering them to clients. They must ensure:
- The investment is suitable based on an investor’s risk profile and objectives;
- Material risks, conflicts of interest, and fees are properly disclosed;
- The financial condition and track record of the issuer are reviewed and verified.
Failure to adequately vet an offering or recommend it appropriately may constitute negligence, unsuitable investment recommendations, or failure to supervise.
FINRA Arbitration vs. Class Action Lawsuits
In most cases, investors pursuing recovery for private placement losses must file claims through FINRA arbitration, not a class action lawsuit. Advantages of FINRA arbitration include:
- Quicker resolution compared to court cases
- Individualized hearings and awards
- Lower overall litigation costs
Most brokerage firm customer agreements include mandatory arbitration clauses, making FINRA the primary forum for investor claims.
Free Consultation – Recover Your Losses
If you invested in this Fund at the recommendation of your financial advisor and are concerned about potential losses or lack of liquidity, The White Law Group may be able to help. Our attorneys have successfully handled over 800 FINRA arbitration cases nationwide and have recovered millions for investors.
For a free consultation with a securities attorney, call 888-637-5510 or visit www.whitesecuritieslaw.com.
Securities Fraud Attorneys | The White Law Group | FINRA Arbitration Lawyers
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Seattle and Chicago. We help investors in all 50 states who have suffered losses due to unsuitable investment recommendations, misrepresentation, or fraud.
FAQs : Self Storage Fund of America LLC
1. What is Self Storage Fund of America LLC?
It is a Delaware-based real estate investment fund formed in 2022 that sought to raise up to $10 million through a Regulation D private placement.
2. How much has been raised so far?
As of the most recent filing, the fund had raised approximately $510,000 from 9 investors, according to the Form D.
3. Can I recover my losses if my broker didn’t disclose the risks?
Yes. If your advisor failed to conduct proper due diligence or fully disclose fees and risks, you may be eligible to pursue a claim through FINRA arbitration.
Last modified: July 29, 2025