Unsuitably Recommended and Sold to Investors, GWG Holdings L Bonds Lose Value, Paving Way for Arbitration

After suspending interest payments GWG Holdings (GWGH) L Bonds continue to produce losses for investors. We received a recent secondary market price quote of 14 cents on the dollar.  That means GWG Holdings' L Bonds have lost 86% of their value, leaving investors with potentially substantial losses if they seek to and successfully resell their ill-fated GWG Holdings L Bond now.  Currently, there is a very thin secondary market for GWG-L bonds with depressed prices and few buyers.  Please understand that the liquidity of the bonds and their market price will change and may have changed since the time of this posting.

Investors who suffered losses after being improperly sold GWG Holdings L Bond products may be able to file claims against the broker or investment advisor who unsuitably recommended the doomed debentures or learn about other options by calling (800) 699-1881 to consult with an experienced arbitration attorney at The Law Offices of Jonathan W. Evans & Associates.

In January 2022, GWG Holdings failed to make $13.6 million in payments to investors, the same product featured in several FINRA disciplinary decisions that found brokers unsuitably sold GWG's L Bonds to investors whose objectives and risk tolerance preferences should have red flagged the sales.

FINRA also disciplined brokerage firms, including Emerson Equity (San Mateo, California), for failing to supervise their brokers and investment advisers who unsuitably sold products such as GWG. For instance, FINRA found that Emerson failed to reasonably supervise its representatives' trades, leading to unnecessary sales and other charges.

Although GWG Holdings claimed it will "continue this process" of exploring its future, the company similarly continues to miss monthly interest and maturity payments on L Bonds, as well as dividends on stocks.

In other words, GWG Holdings refuses to comment on the status of its impending default...but in its actions (or lack thereof) of failing to pay investors, the writing is all but on the wall and investors seeking to recover damages would be wise to consider their next move.

If you invested in GWG Holdings L Bonds and have suffered through missed payments and financial losses that all started with a broker or investment adviser's unsuitable recommendation to acquire GWG, please call an experienced FINRA arbitration attorney at The Law Offices of Jonathan W. Evans & Associates at (800) 699-1881 for a consultation and further investigation.

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