Are you concerned about investment losses in HMS Income Fund?
If so, The White Law Group may be able to help you recover your losses by filing a FINRA Dispute Resolution claim against the brokerage firm that sold you the investment.
HMS Income Fund is a public, non-traded business development company (BDC) that focuses on income and capital appreciation. The company’s strategy is to make debt investments in syndicated middle-market companies as well as self-originated debt and equity investments in lower middle-market companies.
A Business Development Company (“BDC”) is a form of investment company that invests in small and mid-sized businesses. Investors can buy shares in a BDC, and the money from their investments is used to fund the businesses. In turn, investors can profit from dividends paid on their investments, or, possibly, the sale of their shares.
BDCs were created in 1980 after Congress approved a series of amendments to the Investment Act of 1940. The creation of BDCs was meant to spur investment in smaller companies that couldn’t attract traditional forms of capital. BDCs have become increasingly popular in recent years. Although they have the ability to create strong returns on investment, they can be risky.
BDCs are similar to REITs (Real Estate Investment Trusts). Non-traded BDCs are high-risk, have high commissions, and lack liquidity–similar to REITs.
On January 12, 2017, HMS Income Fund announced, in accordance with its share pricing policy, an increase in the offering price of shares to $9.15 from $9.10. The increase is effective as of January 12, 2017.
The White Law Group continues to investigate potential claims against the broker dealers that sold high risk investments, like HMS Income Fund.
Is your broker making suitable recommendations?
Broker-dealers are required to perform adequate due diligence on any investment they recommend. They should also ensure that all recommendations are suitable for the investor. Recommendations should be appropriate in light of the investor’s age, risk tolerance, net worth, and investment experience.
Broker-dealers that fail to adequately disclose risks or make unsuitable investment recommendations can be held liable for investment losses in a FINRA arbitration claim.
If you have invested in HMS Income Fund and would like to speak to a securities attorney about the potential to recover your investment losses, please call The White Law Group at 1-888-637-5510 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 Vero Beach, Florida. To learn more about The White Law Group visit www.whitesecuritieslaw.com.