Did your financial advisor recommend investing in Sierra Income Corporation?
Have you suffered losses investing in Sierra Income Corporation? If so, The securities attorneys at The White Law Group may be able to help you recover your losses through FINRA Arbitration.
Sierra Income Corporation is a business development company (BDC) specializing in first lien senior secured debt, second lien secured debt and, to a lesser extent, subordinated debt of middle market companies, according to Bloomberg.
BDCs were created by the U.S. Congress to stimulate investments in privately owned American companies that may have limited access to debt and equity capital. Non-traded BDCs offer retail investors access to private debt, an asset class that typically has only been available to high-net-worth and institutional investors. By investing in a non-traded BDC, individuals are able to pool their capital to invest in private American companies.
Business Development Companies operate much in the same was as REITs (Real Estate Investment Trusts). Non-traded BDCs have many of the same problems for investors as non-traded REITs. They are high-risk, typically have high commissions, and lack liquidity.
Secondary Market Listing
Currently, Central Trade and Transfer, a secondary market for private placements, is listing shares of Sierra Income Corporation for just $7/share. The original offering price was $10/share.
The White Law Group continues to investigate broker dealers who may have unsuitably recommended Sierra Income Corporation to investors. The main focus of this fund is on senior secured debt, as well as focus on subordinated debt, with a low priority on preferred and common equity. The fund invests 15% of its total portfolio in business services, while 10% focuses on the automotive sector.3.9 % of Sierra’s investments are in the Energy Sector (oil and gas).
Brokerage firms are required to perform adequate due diligence on any investment they recommend. They must ensure that all recommendations are suitable for the investor in light of that particular investor’s age, investment experience, net worth, risk tolerance, investment objectives, and income. Firms that fail to perform adequate due diligence or that make unsuitable recommendations can be held responsible for investment losses in a FINRA arbitration claim.
If you suffered losses investing in a Sierra Income Corporation The White Law Group may be able to help you. Please call 888-637-5510 for a consultation with a securities attorney.
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.
The firm represents investors in FINRA arbitration claims throughout the country. For more information on the firm, visit http://www.whitesecuritieslaw.com.