July 25, 2018 Comments (0) Blog, Current Investigations

Investigating Potential Claims – Lodging Opportunity Fund

Lodging Opportunity Fund

Lodging Opportunity Fund – Securities Investigation

Are you concerned about your investment in Lodging Opportunity Fund? If so, the securities attorneys at The White Law Group may be able to help you by filing a FINRA Arbitration claim against the brokerage firm that sold you the investment.

According to its website, Lodging Opportunity Fund is a family of Hospitality-focused funds including Lodging Opportunity Fund, LLLP (closed to new investors) and Lodging Opportunity Fund, REIT (currently open). The funds acquire and operate hotel properties throughout the Heartland of the United States. The company “uses its unique business model, acquisition strategy and diversified hotel asset portfolios to provide both steady, predictable income and capital appreciation over a planned 5-year hold.”

Lodging Opportunity Fund filed a Form D (private placement) notice of exempt offering of securities in 2013. The company is based in North Dakota.

The Risks of Investing in Reg D Private Placements

The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly selling alternative investment products like Lodging Opportunity Fund to their clients.

Private placements are a means for smaller companies to raise capital through the sale of equity or debt securities without having to register their securities with the SEC. These investments are often riskier and more complicated than traditional investments, and are only suitable for high net worth, sophisticated investors.

Broker dealers are required to perform adequate due diligence on any investment they recommend and to ensure that all recommendations are suitable for the investor. Recommendations should be in line with the investor’s age, risk tolerance, net worth, and investment experience.

Despite the risks of investing in this type of alternative investments, brokerage firms continue to push this type of investment because of the high commissions associated with their sale and creation.

If you are concerned about your investment in Lodging Opportunity Fund or another private placement investment and would like to speak with a securities attorney about your options, please call The White Law Group at 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 White Law Group and its representation of investors in FINRA arbitration claims, visit https://www.whitesecuritieslaw.com.