The national securities law firm, Levin Law, P.A. (“Levin Law”) is investigating brokerage firms that recommended and sold shares in Tortoise Energy Infrastructure Corporation (ticker symbol, TYG) (“Tortoise Energy”) to their customers. If your stockbroker, investment advisor, or other financial professional recommended and sold shares in Tortoise Energy to you and you suffered significant losses, please contact us at (305) 402-9050 or firstname.lastname@example.org. In the last 6 weeks, Tortoise Energy dropped approximately 80% in value. Many financial institutions marketed and sold Tortoise Energy as being a conservative investment. Further, many financial institutions recommended and sold Tortoise Energy to investors with low risk tolerances, such as elderly retirees and those seeking income and capital preservation, without fully and adequately disclosing the important risks and rewards of Tortoise Energy.
Tortoise Energy is a Risky Investment
Tortoise Energy invested primarily in equity securities of Master Limited Partnerships (“MLP”). Unfortunately, many MLPs are risky and can cause investors significant losses, particularly during times of market volatility. Energy-based MLPs can be incredibly risky, but many financial advisors informed their customers that the energy MLPs are “safe” or conservative. When making recommendations to purchase securities, financial advisors have the duty to fully explain all materials risks of such investments. Many financial advisors, however, failed to disclose the true risks inherent in Tortoise Energy, resulting in TYG investors thinking that their investments were “safe.” Such investors were justifiably surprised when their so-called safe investments dropped more than 80% in value during the most recent market decline, resulting in part due to the spread of the Coronavirus. Aggrieved investors may be able to recoup their losses by suing their financial institutions in a Financial Industry Regulatory Authority (“FINRA”) arbitration.