A story in the June 2010 issue of Financial Advisor Magazine, “Private REIT Explosion: Regulators are concerned that too many retirees searching for higher dividends may be investing without understanding the risks” spotlights the investor advocacy efforts of Vernon Litigation Group.
The article reports on the FINRA arbitration claim filed by Vernon Litigation Group that accuses a stockbroker with CapWest Securities Inc. of negligently urging a retired couple to plunge more than $1 million of their nest egg into income-producing “alternative investments.”
The article quotes Christopher Vernon as saying: “Fixed income investors are looking for return and to protect their principal …[The private REIT] is sold as an alternative to a bond. All of a sudden, they find their dividends are reduced or taken away altogether and they’re being told they can’t switch investments!”
To read the article, Click Here.