Last Friday (9/11/09), ex-NBA Star Horace Grant recently received an arbitration award totalling $1.46 million for losses he experienced investing in several of the Regions Morgan Keegan Bond Funds (RMK Funds).
In his arbitration claim filed with the Financial Industry Regulatory Authority (FINRA) Mr. Grant alleged the true risk of the funds were note disclosed and the funds were speculative. The close-end funds in question were the Regions Morgan Keegan Multi-Sector Income Fund, Regions Morgan Keegan High Income Fund, Regions Morgan Keegan Strategic Income Fund, and Regions Morgan Keegan Advantage Income Fund.
Morgan Keegan has faced hundreds of claims for losses by investors who held the funds which bet heavily in the mortgage and structured finance markets and lost big. The funds’ manager, one time investment guru James Kelsoe was removed as manager and the funds were sold to Hyperion Asset management and the names changed. The funds have since been liquidated.
The attorney’s at Colling Gilbert Wright & Carter are currently representing clients with losses in one or more of the RMK bond funds. If you have experienced losses in a RMK fund, please contact our office for a free case evaluation.