Frank Chan Involved in a BDC and Non-Traded REIT Dispute
Frank Chan (CRD #: 2549010), a broker registered with Osaic Welath, is the subject of an investor dispute. This disclosure appears on his BrokerCheck record, accessed on February 16, 2024. Details concerning this dispute are provided below.
On December 18, 2023, an investor named Frank Chan in a dispute alleging that his portfolio was concentrated in illiquid, speculative, low-quality, high-commission non-traded REITs and Business Development Companies (BDCs).
The investor is seeking over $1.5 million.
BDCs
Business Development Companies (BDCs) extend loans to small and medium-sized companies, typically those that are distressed. While the high interest rates charged by BDCs can mean high returns for investors, the possibility of the company defaulting on the loan and other risks can make BDCs unsuitable for some investors.
What Are Non-Traded REITs?
Real estate investment trusts (REITs) allow investors to generate returns from a portfolio of real estate without being directly involved in property management. However, REITs tend to be illiquid, which makes them unsuitable for many investors. Non-traded REITs are especially risky because they are not traded on the public exchange, making them difficult or impossible to sell.
Background Information
Frank Chan has passed the following exams:
- Series 63 Uniform Securities Agent State Law Examination
- Series 99TO Operations Professional Examination
- Series 52TO Municipal Securities Representative Examination
- SIE – Securities Industry Essentials Examination
- Series 7 General Securities Representative Examination
- Series 6 Investment Company Products / Variable Contracts Representative Examination
- Series 26 Investment Company Products/Variable Contracts Principal Examination
Kurta Law Can Help
If you have worked with Frank Chan and have concerns about your investments, do not hesitate to contact us at 877-600-0098 or info@kurtalawfirm.com for a free consultation.
For nearly 20 years, Kurta Law has advocated for investors to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf. Do not let securities fraud go unchecked. Start your recovery process today.