NEW YORK, NY, USA, August 13, 2024 /EINPresswire.com/ — National investment loss and securities attorneys KlaymanToskes is investigating Newbridge Securities and financial advisor Peter Goffin after their recommendations of GWG L Bonds and other alternative investments caused two investors in excess of $500,000 in damages. The law firm urges all customers of Peter Goffin and Newbridge Securities who suffered investment losses in GWG L Bonds, or any other investments, to contact the firm immediately at 888-997-9956.
KlaymanToskes reports the firm has filed a FINRA arbitration claim (no. 24-0698) against Newbridge Securities on behalf of a retired couple, who are seeking to recover damages in excess of $500,000, in connection with being recommended to invest in high-risk and illiquid alternative investments by their financial advisor, Peter Goffin (CRD# 1617710).
According to the lawsuit filed by KlaymanToskes the customers were not looking to speculate, nor had an aggressive risk tolerance, and instructed Newbridge to recommend safe, suitable, income producing investments. Having never invested in any alternative investments, the customers were unaware of the inherent risk in illiquid, private placements.
The alternative investments recommended by Newbridge Securities, through its financial advisor Peter Goffin, included the following:
– GWG L Bonds,
– GPB Holdings,
– GPB Automotive,
– Lodging Opportunity REIT,
– Lodging REIT III,
– Shopoff, and
– Sila Realty Trust.
KlaymanToskes’ investigation found that in total, 50% of the couples’ portfolio was invested in alternative investments. This concentration in alternative investments was unsuitable. In soliciting the clients to invest in the alternative investments, Newbridge and its advisor failed to perform the proper due diligence required before making the recommendations, and failed to act in the best interest of the customers. If the couple had been aware of the risk, they never would have invested a large portion of their liquid net worth in these speculative investments.
Brokerage firms and their registered brokers/investment advisors have a responsibility to disclose and fully explain the risks associated with alternative investments prior to making recommendations to customers, as they are often high-risk, have limited liquidity, and carry high expenses and fees.
Investment firms may be held liable for any losses incurred by their customers in the event of unsuitable investment recommendations, misrepresentations or omissions of material facts, and/or an overconcentration of the customer’s portfolio in one particular investment, class, or market sector. Further, financial professionals and their firms cannot disregard a customer’s risk-tolerance when making investment recommendations.
Current and former customers of Peter Goffin and/or any other financial advisor at Newbridge Securities who suffered investment losses are encouraged to contact attorney Steven D. Toskes, Esq. at (888) 997-9956 or by email at investigations@klaymantoskes.com in furtherance of our investigation.
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration and litigation on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.
Steven D. Toskes, Esq.
KlaymanToskes, P.A.
+1 888-997-9956
investigations@klaymantoskes.com