GWG Holdings


June 30, 2023

Type of alert:


On April 20, 2022, GWG Holdings, a Dallas-based alternative asset company, filed for Chapter 11 bankruptcy, citing overwhelming financial obligations and regulatory issues. This resulted in a sudden and significant decline in GWG Holdings’ share price. The company’s financial documents revealed substantial net liabilities, including $1.3 billion tied to L Bonds, a type of investment offering potential high yields but lacking credit ratings and insurance. Further, on April 13, 2023, GWG Holdings submitted a revised “Disclosure Statement” as part of the process that helps bondholders and other creditors determine recovery options.

GWG L Bonds have long been considered high-risk investments due to their speculative and illiquid nature. These bonds were marketed as an opportunity to earn higher yields in exchange for accepting the possibility that premiums or benefits might not be paid out. Moreover, the lack of a secondary market for these bonds made them difficult to sell, leaving investors potentially locked in for an extended period. The recent turn of events has only exacerbated these risks, with the value of GWG L Bonds dropping significantly.

Investors who have incurred losses in GWG L Bonds are encouraged to take immediate action to protect their interests. Seeking legal representation is crucial, especially considering the potential misrepresentation and mishandling of these bonds by brokerage firms. One option for affected investors is to pursue individual claims through FINRA arbitration. This process offers the potential for a faster resolution compared to lengthy court battles and increases the likelihood of recovering their investments.

By engaging experienced securities lawyers such as ChapmanAlbin LLC, investors can navigate the complexities of FINRA arbitration and seek compensation and recovery from the financial services firms responsible for selling the GWG L Bonds.

Contact Us If You Believe You Have a Case

"*" indicates required fields


Please note: We are unable to take cases with losses of less than $50,000.

This field is for validation purposes and should be left unchanged.

This site contains attorney advertising. The attorneys at ChapmanAlbin are licensed to practice law in Ohio and Michigan. Any reference to past cases or successes made herein should not be construed as a guarantee of any future outcome. Each client and each client’s case is unique, and no result or outcome is or can ever be guaranteed. The information provided in this website is offered for general information purposes only; it is not offered as and does not constitute legal advice in any way. // Disclaimer