June 10, 2018 Comments (0) Blog, Current Investigations

Redwood Mortgage Investors IX – Securities Investigation

Redwood Mortgage Investors IX

Recovery of Investment Losses in Redwood Mortgage Investors IX

Are you concerned about investment losses in Redwood Mortgage Investors IX? 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.

Redwood Mortgage Investors IX, LLC engages in the mortgage lending and investment business in the United States. It makes and holds for investment mortgage loans secured primarily by first and second deeds of trust on residential, commercial, or multi-family properties in California, according to Bloomberg. Redwood Mortgage Corp. serves as the manager of the company. The company was founded in 2008 and is based in San Mateo, California.

Private Placement Investments – Suitable for you?

The White Law Group is investigating claims involving broker dealers who may have improperly recommended Redwood Mortgage Investors IX to investors.

The trouble with private placements, such as Redwood Mortgage Investors IX, is that they lack liquidity and are inherently risky. Compared to traditional investments, such as stocks, bonds and mutual funds, private placements are more complex and are better suited for sophisticated and institutional investors.

Additionally, private placements lack the same regulatory oversight as more traditional investments such as stocks, bonds or mutual funds.

Broker dealer often earn extremely high sales commission selling private placements, sometimes as high as 15%. Sometimes the high sales commissions associated with private placements may provide some financial advisors with enough incentive to overlook suitability requirements.

Brokerage firms are required to perform adequate due diligence on any investment they recommend and to ensure that all recommendations are suitable for the investor in light of the investor’s age, risk tolerance, net worth, and investment experience.

If a broker dealer makes unsuitable investment recommendations or fails to adequately disclose the risks associated with an investment they may be liable for investment losses through a FINRA arbitration.

If you suffered investment losses incurred as a result of your purchase Redwood Mortgage Investors IX, please contact The White Law Group 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.