December 6, 2016 Comments (0) Blog, Current Investigations

Beacon E & P Company, LLC Investment Losses

(Last Updated On: January 6, 2017)

Are you concerned about your investment losses in Beacon E & P Company, LLC? If so, The White Law Group may be able to help you recover your losses through FINRA arbitration.

Beacon E&P Company, LLC offers oil and natural gas exploration and production services. The company was founded in 2009 and is based in Denver, Colorado, according to Bloomberg. Beacon E & P filed a Form D in 2009 to raise capital.

The trouble with alternative investment products, like Beacon E & P Company LLC, is that they involve a much greater degree of risk compared to traditional investments, such as stocks, bonds or mutual funds. Alternative investments are typically sold as unregistered securities and lack the same regulatory oversight as more traditional investment products.  An additional risk inherent to Beacon E & P is also the general risk that comes with the energy market – a market that has seen enormous losses over the last few years.

Broker dealers that sell alternative investments are required to perform adequate due diligence on all investment recommendations to ensure that each investment is suitable for the investor in light of the investor’s age, risk tolerance, net worth, financial needs, and investment experience.

However, another unfortunate by product of Reg D private placements is that the high sales commission brokers earn for selling such products may provide some brokers with enough incentive to push the product to unsuspecting investors who do not fully understand the risks of these types of products.

If a broker or brokerage firm makes an unsuitable investment recommendation or fails to adequately disclose the risks associated with an investment they may be liable for investment losses.

To determine whether you may be able to recover investment losses incurred as a result of your purchase of Beacon E & P Company LLC or another oil and gas private placement investment, please contact The White Law Group at 1-888-637-5510 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 Vero Beach, Florida. For more information on the firm, visit www.WhiteSecuritiesLaw.com.