Soreide Law Group is actively investigating potential investment-related claims against broker dealers who might have inappropriately advised clients on FlexShares Crdt-Scrd US Lng Corp Bd ETF (LKOR).
What Is LKOR?
Sponsored by Northern Trust Asset Management, the FlexShares Crdt-Scrd US Lng Corp Bd ETF (LKOR) aims to reflect the performance, prior to expenses and fees, of the Northern Trust Credit-Scored US Long Corporate Bond IndexSM.
As many investors are aware, rates have been increased by the Federal Reserve since 2022. For those invested in long-duration bonds like LKOR, these changes in interest rates can be particularly concerning. The bond's maturity duration directly affects its sensitivity to interest rate shifts. With LKOR's focus on bonds with longer durations, its exposure to credit risk intensifies when interest rates rise.
Current data from Morningstar shows that FlexShares Crdt-Scrd US Lng Corp Bd ETF (LKOR) dropped in share price by 12% over the last year and more than 18% in the past five years.
Potential Claims for LKOR Investors Based On Omissions, Overconcentration
If bonds were portrayed as a "safe" investment by a financial advisor without properly disclosing the associated risks, especially during periods of historically low yields, investors might have grounds for a claim. Bonds with longer maturities are more susceptible to the impacts of fluctuating interest rates. Over-concentration in long-term bonds in a low yield environment because of an advisor's recommendation can lead to substantial losses.
Financial advisors are obligated to provide a series of disclosures before suggesting bonds. This includes information like the risks, commissions or markups, the prices and yields, and bond payments.
Losses In LKOR?
Have you encountered losses from your investment in FlexShares Crdt-Scrd US Lng Corp Bd ETF (LKOR)? The dedicated securities attorneys at Soreide Law Group are here to assist. We can potentially help you file a claim against the individuals and brokerages responsible.
Don't hesitate to reach out to Soreide Law Group online or at (888) 760-6552 and speak with a securities attorney concerning a potential recovery of your investment losses. Soreide Law Group, who has successfully recovered money for investors throughout the country, works on a contingency fee basis and advances all costs. Collins and brokerage firms Collins worked for deny accusations of sales practice violations.