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Written by 3:10 pm Investment Loss Recovery

Terra Property Trust Inc. Investment Losses

Terra Property Trust Inc.: Investor Alert featured by top securities fraud attorneys, The White Law Group

 Terra Property Trust Inc. Secondary Sales Price is $3.50 per Share

The White Law Group is investigating potential securities claims involving broker dealers who may have improperly recommended Terra Property Trust Inc. to investors. 

Terra Property Trust is an externally managed non-traded REIT that originates, invests in, and manages loans, securities, and assets secured by commercial real estate across the US, according to its website. 

On October 1, 2022, Terra Property Trust, Inc. completed the previously announced merger with Terra Income Fund 6, Inc.

According to Central Trade and Transfer, shares of Terra Property Trust are currently listed for just $3.50 per share. This could indicate losses for investors as the original offering price was reportedly $10 per share.

Risks of Investing in Terra Property Trust

Lack of liquidity: Non-traded REITs typically have limited liquidity compared to publicly traded REITs. Investors may face challenges in selling their shares, as there is no established public market for them. Redemption programs, if available, often have restrictions. They may only allow redemptions at certain times and at prices below the initial investment. 

Valuation uncertainty: Since non-traded REITs do not trade on public exchanges, their value may be difficult to determine accurately. Share prices are often set by the REIT’s management. They may not reflect the true underlying value of the real estate assets. Investors may face uncertainty about the value of their investment until a liquidity event occurs. 

High fees and commissions: Non-traded REITs typically have high upfront fees and ongoing expenses, including sales commissions, management fees, and other operational costs. These fees can significantly reduce investors’ returns and may not be fully transparent at the time of investment. 

Limited transparency: Non-traded REITs are not subject to the same disclosure requirements as publicly traded REITs. Investors may have limited access to information about the REIT’s financial performance, portfolio composition, and management practices. Thus making it challenging to assess the investment’s risks and potential returns accurately. 

Recovery of Investment Losses – Terra Property Trust

Despite the risks of investing in alternative investments, brokerage firms continue to push this type of investment because of the high commissions associated with their sale and creation.  

If a brokerage firm makes unsuitable investment recommendations or fails to adequately disclose the risks associated with an investment, they may be liable for investment losses through FINRA arbitration. 

FINRA operates the largest securities dispute resolution forum in the United States, and has extensive experience in providing a fair, efficient and effective venue to handle a securities-related dispute. 

Experienced securities attorneys can help you through the FINRA arbitration process. FINRA arbitration can be challenging to navigate, and a skilled attorney with expertise in securities law can significantly enhance your prospects of a successful outcome.  

FINRA Attorneys – The White Law Group 

The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly recommending Terra Property Trust Inc. to investors.  

Our firm can help you evaluate the strength of your case, draft a well-structured statement of claim that accurately presents your allegations of fraud and desired damages, and provide representation during the arbitration hearing by presenting evidence and making compelling arguments on your behalf. 

Additionally, our attorneys can engage in negotiation efforts for a potential settlement before the arbitration process begins. Opting for a securities attorney ensures that your rights are safeguarded throughout the arbitration process, maximizing your likelihood of achieving a favorable resolution. 

Free Consultation with a Securities Attorney 

If you have concerns about your investment in Terra Property Trust Inc., The White Law Group may help you. To speak with a securities attorney about your options, please call the office at 888-637-5510 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 Seattle, Washington. 

For more information on The White Law Group and its representation of investors in FINRA arbitration claims, visit https://www.whitesecuritieslaw.com. 

 

Tags: , Last modified: March 8, 2024