PHILADELPHIA and CLEVELAND, June 11, 2021 – The investor rights lawyers at Goldman Scarlato & Penny, PC law firm (“GSP”) are evaluating potential claims for compensation on behalf of investors who lost money in LJM Preservation & Growth Fund (LJMIX) following recent allegations of misconduct by the Securities and Exchange Commission (“SEC”) and the Commodity Futures Trading Commissions (“CFTC”).
LJM Funds Management, LJM Partners, and certain of their principals including Anthony Caine were recently accused by the SEC and the CFTC of misleading investors regarding risk management practices and the worst-case loss estimates. In parallel, the regulators settled the charges against LJM’s Chief Risk Officer Arjuna Ariathurai for his role in the LJM alleged misconduct.
In February 2018, the LJM Preservation & Growth Fund suffered trading losses allegedly exceeding $1 billion, which reportedly represented 80% of fund’s value. The losses were reportedly caused by overexposure to volatility risk. Shortly thereafter, LJM Fund closed to new investors and liquidated.
The LJM Fund was reportedly sold and/or recommended to investors by many broker-dealer and registered investment advisory firms. Recently the Financial Industry Regulatory Authority sanctioned three broker-dealers for their alleged failure to conduct adequate due diligence before permitting the sale of the LJM alternative mutual fund and failure to supervise their representatives’ recommendation of LJM.
LJM Investors May Have Options to Recover Losses
Investor rights attorneys Alan Rosca and Paul Scarlato have been investigating this matter and are evaluating certain recovery options for LJM investors. Investors in LJM may contact attorneys Rosca or Scarlato for a free, no-obligation evaluation of their options at 888-998-0530, arosca@rscounsel.law or by leaving a message on https://investorlawyers.org/ljm-funds-investor-center/.
The GSP securities attorneys have decades of combined experience representing investors who lost money as a result of investment fraud. They are evaluating potential options on behalf of victimized LJM investors, in addition to any recovery from other, unrelated proceedings. They take most cases of this type on a contingency fee basis and advance the case costs. There are no fees or costs if no recovery.
Visit https://investorlawyers.org for more information about the firm and GSP attorneys’ background and admissions to practice law. This release may be deemed to include Attorney Advertising. There has been no finding of liability as to the allegations herein. © GSP 2021.
