Alleged Unsuitable Recommendations of Non-Traded REITs by Surevest, Others

Investment fraud lawyers are currently investigating claims on behalf of investors who suffered significant losses as a result of doing business with Surevest Capital Management and employees of the firm.

Allegedly, Surevest invested some of its clients in high-risk portfolios, allocating very little of these accounts into traditionally low-risk investments. These high-risk investments allegedly included equities, non-traded REITs and other private placement securities. Some Surevest clients have raised allegations asserting that the high-risk investment recommendations were unsuitable and implemented regardless of the age, risk tolerance and other considerations of the investors.

According to securities arbitration lawyers, firms have an obligation to fully disclose all the risks of a given investment when making recommendations, and those recommendations must be suitable for the individual investor receiving the recommendation given their age, investment objectives, and risk tolerance. Non-traded REITs are inherently risky and illiquid, which limits access of funds to investors and makes them unsuitable for many individuals with conservative risk tolerances as well as those who need easy access to funds. Other private placements and equities also carry significant risks.

The clients alleging unsuitability are also alleging that they would not have suffered such significant losses if their accounts had been managed and invested properly. Investment fraud lawyers say that investments with traditionally lower risk, such as bonds, may have been more appropriate for many investors. Surevest Capital Management, an investment advisory company, is registered in California, New York, Nevada and Arizona, and keeps offices in Las Vegas and Phoenix.

If you suffered significant losses because of the unsuitable recommendation of equities, non-traded REITs or other private placements from Surevest Capital Management or another full-service brokerage firm, you may be able to recover your losses through securities arbitration. To find out more about your legal rights and options, contact a securities arbitration lawyer at Law Office of Christopher J. Gray, P.C. at (866) 966-9598 or newcases@investorlawyers.net for a no-cost, confidential consultation.