The White Law Group, LLC, a South Florida securities fraud, broker fraud, securities arbitration, investor protection and Chapter 7 bankruptcy law firm based in Boca Raton, Florida.

Posts tagged ‘Highland Floating Rate Fund class action’

Recovery of Highland Floating Rate Fund Losses

Have you suffered losses in a Highland Floating Rate Fund?  If so, the securities attorneys of The White Law Group may be able to help you recover your losses through FINRA arbitration.

Although Highland’s sales literature claims that its floating rate funds seek “capital preservation and the management of credit risk while utilizing leverage to increase yield potential,” this representation grossly understates the risk of these funds.  Each of the Highland Floating Rate Funds, including the Highland Floating Rate Advantage Fund, the Highland Floating Rate Opportunities Fund, and the Highland Floating Rate Fund, have suffered substantial losses over the last few years.  The Highland Floating Rate Advantage Fund, for example, declined by more than 50% in 2008, a precipitous decline even relative to the overall decline in the market.

Due to the increase in the sales of floating rate funds, the Financial Industry Regulatory Authority (FINRA) is now paying closer attention to the manner in which these funds are marketed and sold.  In a recent “investor alert,” FINRA expressed concern about financial advisor who downplay the potential risks of floating rate funds while emphasizing the higher potential returns.

The White Law Group continues to investigate the liability that FINRA registered brokerage firms may have for improperly selling high-risk floating rate funds, like the Highland Floating Rate Funds, to their clients.

To speak with a securities attorney regarding your investment in a Highland Floating Rate Fund, please call The White Law Group at 312/238-9650 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 Boca Raton, Florida.

For more information on The White Law Group, visit the firm’s website at http://www.whitesecuritieslaw.com.

Recovery of Highland Floating Rate Fund Losses

Have you suffered investment losses in the Highland Floating Rate Fund? If so, The White Law Group may be able to help.

The White Law Group is investigating potential securities fraud claims on behalf of investors involving broker-dealers recommendation that investors purchase risky investments, including the Highland Floating Rate Fund.

The Financial Industry Regulatory Authority (FINRA) recently issued an “investor alert” to warn investors who may be attracted to the high return promised by floating rate funds. In promoting these investments, FINRA expressed concern about brokers who downplay the potential risks while emphasizing the higher returns.

Highland’s sales literature claims that its floating rate funds seek “capital preservation and the management of credit risk while utilizing leverage to increase yield potential.”  Investors were no doubt attracted to the Highland Floating Rate Funds because the fund supposedly offered a nice income stream without substantial risk. Unfortunately for investors the fund invested heavily in loans that were rated as below investment grade or “junk.”

To determine whether you may be able to recover investment losses incurred as a result of your purchase of the Highland Floating Rate Fund, please contact The White Law Group at 312-238-9650.

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.

For more information on The White Law Group, visit http://www.whitesecuritieslaw.com.