Many investors that purchased Apple REIT shares did not realize the risks of the investment. The reason that Apple REIT (like other REITs) is a high-risk investment is:
- REITs generally focus on one type of real estate, like the hotels of the Apple REIT 10. This makes the investment particularly vulnerable to market changes in certain sectors.
- REITs may be concentrated in a specific location or community. If something goes wrong in that specific location, REIT investors nationwide are affected.
- REITs can be complicated. It can be very difficult for an investor to figure out exactly what the REITs are investing in, and the research required is prohibitive.
- Non-traded REITs like Apple REIT can be illiquid. This can make the investments unsuitable for retired or income needing investors.
Many of the Apple REIT investors with whom we have spoken are retired, conservative investors concerned about their Apple REIT investments and trying to determine their legal options.
If you have questions about your Apple REIT investment, please call the securities attorneys of The White Law Group 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 Boca Raton, Florida. The firm handles FINRA arbitration cases throughout the country.
For more information on The White Law Group, please visit our website at http://www.whitesecuritieslaw.com.