Securities Investigation involving Fractel LLC
The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly selling high-risk alternative investments, like Fractel LLC, to its clients.
Fractal, LLC, a developer of cloud based communication network, reportedly provides telecommunication service to businesses based on cloud.The company reportedly filed a form D to raise capital from investors in 2015. The total offering amount was purportedly $3,000,000.
Alternative investments such as this one, are generally speculative, high risk investments and due to these risks are often unsuitable for most investors. Despite the risks of investing in alternative investments, brokerage firms continue to push this type of investment because of the high commissions associated with their sale and creation.
Brokerage firms have a responsibility to adequately disclose all risks before selling any investment and must consider suitability factors such as age, financial needs, and risk tolerance to name a few. Firms that do not perform adequate due diligences on an investment or demonstrate a breach of fiduciary duty can be held accountable for losses incurred through FINRA arbitration.
If you are concerned about your investment in Fractel LLC, The White Law Group may be able to help. Please call the offices at 888-637-5510 for a free consultation with a securities attorney.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois.