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Investor Lawyers BlogAdvisor Group Broker-Dealers Named in GPB Capital Fraud Claims Raised Their Legal Reserves
Customers of Sagepoint Financial, Royal Alliance Associates, and FSC Securities Have Suffered Losses in the GPB Funds
According to InvestmentNews, three Advisor Group brokerage firms raised their reserves for expected “legal and regulatory matters” by up to three times last year. The firms disclosed this information in their 2020 Focus Reports, which are financial statements that they recently submitted with the US Securities and Exchange Commission (SEC).
Although the broker-dealers did not explain what they needed these added legal reserves for, they are among the dozens of financial firms that collectively earned over $160M in commissions from selling GPB private placements to investors.