Recovery of Investment Losses in Madison Capital Energy Income Fund I LP
Have you suffered investment losses in Madison Capital Energy Income Fund I LP? If so, the attorneys at The White Law Group may be able to help you recover your losses through a FINRA Arbitration claim.
According to their website, Madison Capital Investments, LLC, specializes in the formation and management of energy royalty assets with established production histories and growth potential through our royalty funds and direct title offerings. The firm has had direct participation programs since 2003, specializing in producing oil and gas royalty asset investments.
The White Law Group is investigating the liability that brokerage firms may have for improperly selling oil and gas private placements like Madison Capital Energy Income Fund I LP and Madison Capital Energy Income Fund II LP.
The Trouble with Private Placements
The trouble with alternative investment products, like Madison Capital Energy Income Fund I LP, is that they involve a high degree of risk and are typically sold as unregistered securities which lack the same regulatory oversight as more traditional investment products like stocks and bonds. An additional risk inherent to this type of offering is also the general risk that comes with the energy market – a market that has seen enormous losses over the last few years.
Broker dealers that sell alternative investments are required to perform adequate due diligence on all investment recommendations to ensure that each investment is suitable for the investor in light of the investor’s age, risk tolerance, net worth, financial needs, and investment experience.
However, another problem with Reg D private placements is that the high sales commission brokers earn for selling such products sometimes can provide some brokers with enough incentive to push the product to unsuspecting investors who do not fully understand the risks of these types of investments.
Fortunately, FINRA does provide for an arbitration forum for investors to resolve such disputes and if a broker or brokerage firm makes an unsuitable investment recommendation or fails to adequately disclose the risks associated with an investment they may be liable for investment losses in a FINRA arbitration claim.
To determine whether you may be able to recover investment losses incurred as a result of your purchase of Madison Capital Energy Income Fund I LP, please contact The White Law Group at 1-888-637-5510 for a free consultation.
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. The firm represents investors throughout the country in claims against their brokerage firm.
For more information on the firm and its representation of investors, visit www.WhiteSecuritiesLaw.com.