Many investors in GWG L Bonds loss recovery have suffered significant losses of their original principal. The loss of investment capital is devastating, especially for retirees and income-focused individuals who relied on the regular interest payments from their GWG L Bonds investments. GWG has halted all redemptions and transferred remaining assets to a wind-down trust that is expected to have a very low return on investment.

GWG was facing major financial challenges, regulatory scrutiny, and concerns about the sustainability of its business model. These problems culminated in the company filing for Chapter 11 bankruptcy protection in April 2022. After the bankruptcy filing, GWG has halted all sales and interest payments to investors in its L Bonds.

GWG L Bonds Loss Recovery: What Investors Need to Know

The brokerage firms that sold these risky securities must be held accountable. Investors should not have to accept the paltry settlement offered by the bankruptcy court. Instead, we recommend filing a FINRA arbitration claim against the broker-dealer who sold these investments in your account. Unlike class actions, in a FINRA arbitration claim, your individual case facts are considered by the arbitrator and will impact the value of your case.

Be wary of brokers who tell you there is no recovery from the bankruptcy or that the time to file has passed. These are likely delay tactics that will prevent you from taking timely action to hold those responsible for your losses accountable. Iorio Law PLLC continues to represent GWG L Bonds investors in FINRA arbitration claims nationwide. We work on a contingency fee basis, meaning you pay no attorneys fees unless we recover for you.