The GWG bankruptcy settlement offers little hope to investors. Instead, those who suffered substantial losses should consider pursuing a direct claim against the brokerage firms and financial advisors that sold them these unsuitable investments. These claims are independent of the GWG Holding bankruptcy liquidation and focus on broker misconduct, such as misrepresentation, unsuitable recommendations, failure to disclose material risks, and other violations of FINRA rules and Regulation Best Interest. August M. Iorio of Iorio Law PLLC is nationally recognized for his ability to recover investor losses in brokerage firm arbitrations.

The L file claim on GWG bonds were high-risk, illiquid, and unrated securities that were speculative in nature. Moreover, they paid brokers up to 8% in commissions, creating a powerful conflict of interest that overrode investment goals. Many retail investors, including retirees and pensioners, were sold these GWG bonds despite their conservative investment objectives. The GWG L-Bond sales practices were a flagrant violation of the Suitability Rule and Regulation Best Interest.

How to File a Claim on GWG Bonds and Protect Your Rights

In addition to FINRA investor arbitration claims, investors may be eligible to file civil lawsuits in state courts. Unlike arbitration, court litigation is public and provides more procedural protections and discovery rights. In addition, some jurisdictions permit punitive damages in court cases, making lawsuits a compelling option for investors seeking accountability and restitution for their investment losses.

Investors should consider consulting with a qualified securities attorney before pursuing any recovery action. Experienced attorneys can help evaluate the merits of each potential recovery method, establish realistic expectations, and recommend the best course of action given individual circumstances.