The financial world is one of constant change, with investments that seem lucrative one-day posing severe risks the next. Consider, for instance, the case of GWG Holdings’ preferred stock. Is it possible that those who invested heavily in this opportunity were misled, or were they simply taking a calculated risk? And who is to be held accountable?
GWG Holdings and the Lure of L Bonds
For those who aren’t familiar, let’s take a step back. What exactly are GWG L bonds? Simply put, they are bonds backed by life settlements. There was a time when the financial sector buzzed with excitement about them. Dallas-based GWG Holdings, prior to its bankruptcy, successfully drew in over $1 billion from investors across the country, all hoping to reap the benefits of these bonds. Yet, even GWG itself highlighted the associated risks in the prospectus presented to the Securities and Exchange Commission. And what was the gravest of these risks? The potential to lose every single cent of the invested amount.
Is the Secondary Market a Feasible Exit Strategy?
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As a prudent investor, you might wonder about cashing out if things go south. The primary concern here: there’s no public market for these L bonds. Furthermore, GWG Holdings clarified that they don’t foresee one emerging anytime soon. Thus, if you’re an investor trying to cash out before the bonds mature, the path might not be as straightforward as you’d hoped.
Drew Peters: The Advisor in Question
One can’t delve into this saga without discussing Drew Peters, an advisor at Aegis Capital, now linked to the GWG investments. Given the situation, some might raise eyebrows at his professional credentials. But is that fair? After all, Peters isn’t a novice in the securities industry, boasting a 13-year tenure. He’s been affiliated with esteemed establishments, including Sarasota’s JHS Capital Advisors, and later formed a base at American Legacy Wealth Management in Sarasota, Florida.
Let’s lay out some facts:
- Peters affiliated himself with Aegis Capital in 2015.
- He cleared all three requisite securities industry exams: Series 7, General Securities Representative Examination, SIE, and Series 66, Uniform Combined State Law Examination.
- Over a dozen states have given Peters the nod to offer his expertise.
The question then becomes: Can one event overshadow a long-standing record of professional integrity and capability?
Seeking Redress for Financial Setbacks
For those facing financial challenges stemming from their investment in GWG Holdings Inc., there is light at the end of the tunnel. Haselkorn & Thibaut, having aided nine such aggrieved investors, stand ready to assist.
Consider the following:
- Have you or someone you know faced significant losses due to these investments?
- Are you second-guessing the guidance you received from your financial consultant?
If the answer to any of these questions is a ‘yes’, perhaps it’s time for a conversation. Reach out to Haselkorn & Thibaut at 1-800-856-3352 or use their online contact form for a confidential, complimentary consultation.
In summary, the realm of investments is rife with challenges, uncertainties, and variables. While accountability is vital, it’s equally crucial to be equipped with all the facts before drawing conclusions. After all, isn’t informed decision-making the bedrock of successful investing?
