December 13, 2018 Comments (0) Blog

Cumulus Energy Fund – Investigation

cumulus energy fund

Cumulus Energy Fund – Investigating Potential Claims

Are you concerned about your investment in Cumulus Energy 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.

The Cumulus Energy Fund reportedly followed a strategy of applying weather risk management and derivatives expertise to the European energy and emissions markets.

The fund was launched in 2006 but now is closing. According to Artemis.com, “the strategy had suffered in recent years due to atypical European winter weather, something which had also hit reinsurance firms and ILS funds investing in weather risk instruments.”

Hedge funds are typically aggressively managed portfolios of investments that use advanced investment strategies such as leveraged, long, short and derivative positions in both domestic and international markets with the goal of generating high returns.

Hedge funds such as Cumulus Energy Fund are generally complex and high risk investments.  Investors in hedge funds can often expect large swings in performance and volatility.

According to Bloomberg, hedge fund closings hit $3 trillion, and “closures have outnumbered launches for the third year running: 580 funds decided to shut as of Dec. 3, compared with 552 openings, according to Eurekahedge.”

Free Consultation with a Securities Attorney

The White Law Group is investigating the liability that FINRA registered brokerage firms may have for unsuitably recommending hedge fund investments, like Cumulus Energy Fund, to retail investors.

Brokerage firms are required to perform due diligence on any offering they recommend and to ensure that all recommendations made are suitable in light of the client’s age, investment experience, net worth, income, and investment objectives.

If a firm fails to perform due diligence or makes an unsuitable recommendation, the broker-dealer can be held responsible for any losses in a FINRA arbitration claim.

FINRA can help resolve problems and disputes through two non-judicial proceedings: arbitration and mediation. FINRA’s Dispute Resolution forum handles nearly all of the securities-related arbitrations and mediations in the United States.

If you have concerns regarding your investment in Cumulus Energy Fund and would like to speak with a securities attorney about your options, please call The White Law Group at 888-637-5510.

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 Franklin, Tennessee.

For more information on The White Law Group and its representation of investors in FINRA arbitration claims, visit https://www.whitesecuritieslaw.com.