First Trust MLS and Energy Income Fund (FEI) Investor Notice

First Trust MLS and Energy Income Fund (FEI) Investor Notice

The Haselkorn & Thibaut is investigating potential sales practice violations by financial advisors who were recommending First Trust MLS and Energy Income Fund (FEI) and similar energy sector-related investments to main street investors.

The recent trading in FEI had been relatively steady above the $11.00/share range for years.  Through 2019, and into February 2020 that remained the case.  Since February 2020, the FEI share price has dropped to the $5.50/share range.

First Trust MLP and Energy Income Fund (FEI) is a closed-ended mutual fund managed by First Trust Advisors L.P. and co-managed by Energy Income Partners LLC. The fund seeks to invest in securities of companies operating in the energy and energy utility sectors. It primarily invests in equity and debt securities of MLPs and MLP-related entities, as well as in dividend-paying growth stocks of companies. First Trust MLP and Energy Income Fund (FEI) was formed on August 17, 2012, and is domiciled in the United States.

Notice to First Trust MLS and Energy Income Fund (FEI) Investors

The Haselkorn & Thibaut, P.A. law firm is a nationwide investment fraud law firm (www.investmentfraudlawyers.com) investigating potential sales practice violations by financial advisors who were recommending FEI and many similar energy sector investments sold to investors.

For investors, this is a particularly tough blow as these are the types of investments that were often recommended by financial advisors to clients who were looking for income in their portfolios (often retirees or similarly conservative investors).  This was likely a recommendation that was expected to be low volatility and fairly conservative, now investors are faced with substantial losses as a result of a level of risk to their original investment principal that was probably never properly disclosed (if it was ever disclosed at all) by their financial advisors.

Many of these investments were sold by financial advisors without proper risk disclosures, as these are considered very risky and complex securities.  In cases where these were recommended to retirees or similar conservative income-seeking investors there is the potential for sales practice abuse as a result of misrepresentations, but more often as a result of omissions of material fact, or due to a lack of proper supervision.

Investors Seeking to Recover Losses FEI

For some investors, a private FINRA arbitration customer dispute enables them to bring a claim and potentially recoup their FEI investment losses.  These customer disputes typically involve only paper discovery and no depositions, and they are generally faster and more efficient compared to traditional court litigation, as they provide a private forum to resolve disputes more quickly and efficiently.

About Haselkorn & Thibaut, P.A.

Haselkorn and Thibaut, P.A. is a nationwide law firm specializing in handling investment fraud and securities arbitration cases. The law firm has offices in Palm Beach, Florida, on Park Avenue in New York, as well as in Phoenix, Arizona, Houston, Texas, and Cary, North Carolina.  The two founding partners have nearly 45 years of legal experience.

Haselkorn & Thibaut, P.A. has filed numerous (private arbitration) customer disputes with the Financial Industry Regulatory Association (FINRA) for customers who suffered investment losses relating to issues similar to those matters mentioned above. There are typically no depositions involved, and those cases are typically handled on contingency with no recovery, no fee terms.  Experienced attorneys at Haselkorn & Thibaut, P.A. are available for a free consultation as a public service. Call today for more information at 1-800-856-3352.

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