Granite Point Mortgage Trust (GPMT) – Mortgage REITs Decline Sharply amid Covid-19 Pandemic
Have you suffered losses investing in a mortgage REIT such as Granite Point Mortgage Trust (GPMT)? If so, the securities attorneys at The White Law group may be able to help you to recover your losses through FINRA Arbitration.
Granite Point Mortgage Trust, Inc., a real estate investment trust, reportedly focuses on originating, investing in, and managing senior floating-rate commercial mortgage loans and other debt and debt-like commercial real estate investments.
Shares of mortgage real-estate investment trusts declined sharply in March, according to The Wall Street Journal, reflecting growing concerns about firms that “use borrowed money to juice returns at a time when funding markets are in turmoil.”
According to S&P Global, close to half of the mortgage REITs in the U.S. lowered or suspended their dividend payments due to the financial turmoil attributed to the COVID-19 global pandemic.
Eleven mortgage REITs reportedly declared dividend payment reductions year-to-date, with most of the cuts exceeding 10% of the previous dividend amount.
Unfortunately for investors, shares of Granite Point Mortgage Trust are down -74.32% YTD and the company has suspended its dividend payments.
Investigating Potential Claims
The White Law Group is investigating FINRA arbitration claims involving broker dealers who may have improperly recommended mortgage REITs to investors.
Brokerage firms are required to perform due diligence on any investment they recommend, including mortgage REITs. They must ensure that the investment is suitable for a particular investor in light of that investor’s age, investment objectives, income, net worth, and investment experience. Given the current risk of devaluation of these REITs, such investments are likely only suitable for wealthy and/or sophisticated investors.
If you have suffered losses in a mortgage REIT such as Granite Point Mortgage Trust (GPMT), please call the securities attorneys of 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 Franklin, Tennessee.
For more information on the firm, please visit https://www.whitesecuritieslaw.com.