Bluerock Total Income+ investors hoped that going public would solve their problems. This investment that brokers and advisors touted as safe is looking to list for a price below its net asset value. These investors may have recourse.
Alternative investments, such as Bluerock, are highly risky. Unfortunately for investors, the investments pay relatively high commissions and other incentives to advisors. This gives an incentive to use inappropriate means to sell the investments.
Bluerock is a real estate fund. As a private investment, there is not the level of scrutiny of publicly traded funds. This means the advisors selling the investment knew that the investment was high risk.
Another issue adding risk is the illiquidity of Bluerock. Liquidity was always an issue with Bluerock. Investors could not access their funds without Bluerock issuing a liquidity event. This was also known by advisors. Regulators routinely warn advisors that such investments are high risk. The regulators also state that such investments are not for most investors and advisors should not be swayed by high commissions.
Investors have recourse when sold unsuitable investments. Jeffrey Pederson represents investors who were sold inappropriate investments and has been doing so for over 20 years. Call if you wish to discuss.
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