NEW YORK, April 07, 2016 (GLOBE NEWSWIRE) -- The Securities Arbitration Law Firm of Klayman & Toskes, P.A. (“K&T”), www.nasd-law.com, announced today that it is continuing to investigate and pursue Financial Industry Regulatory Authority (FINRA) securities arbitration claims against VSR Financial Services (“VSR”) for sales practice violations related to solicited investments in non-traded alternative investments. According to K&T, the scope of its investigation is related to investments in non-traded alternative investments, including Real Estate Investment Trusts (“REITs”) and Business Development Companies (“BDCs”) solicited by VSR financial advisors.
K&T is pursuing FINRA securities arbitration claims against VSR for unsuitable recommendations, misrepresentations and omissions, securities concentration and failure to supervise. According to securities attorney Lawrence Klayman, “Our investigation is continuous and ongoing, and focused on whether investors were able to make investment decisions with the benefit of full disclosure.” Mr. Klayman explains, “Non-traded alternative investments have risks and costs which make them unsuitable for many investors.” K&T’s investigation is related to alternative investments in non-traded REITs and BDCs that include:
- America Realty Capital Properties (Vereit);
- CNL Corporate Capital Trust;
- Cole Capital REITs;
- Franklin Square Energy and Power Fund;
- Griffin Capital;
- Northstar Real Estate Income;
- Sierra Income Corporation; and
- United Development Funding IV.
According to FINRA Notice to Members 15-02, brokerage firms are required to provide greater disclosure concerning non-traded REITs and BDCs on customer account statements. Our investigation relates to whether adequate disclosure of the costs and risks associated non-traded REITs and BDCs was made by VSR and its financial advisors.
About Klayman & Toskes, P.A.
K&T 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, such as non-profit organizations, unions, public and multi-employer pension funds, in large and complex securities matters. K&T has office locations in California, Florida, New York and Puerto Rico. If you wish to discuss this investigation or have knowledge of VSR’s sales practices related to investments in non-traded REITs and BDCs can contact us, or call Steven D. Toskes, Esq. at 888-997-9956.