Frederick Baerenz and David Sweat, Former Kalos Capital Brokers, Involved in Arbitration Over Recommendation of GPB Capital Securities Funds

Involved in the sale of securities offered by GPB Capital Holdings

Sonn Law is investigating Former Kalos Capital Brokers Frederick Baerenz and David Sweat. We represent investors in the United States for claims against brokers and brokerage firms for wrongdoing. If you have experienced investment losses, please call us at 866–827–3202, or complete our contact form for a free consultation.

Frederick Peter Baerenz (CRD# 2388453) is a previously registered broker and currently registered investment advisor. From 2013 to 2019, Mr. Baerenz was a registered representative with Kalos Capital, Inc., based in Great Falls, Virginia. David Scott Sweat (CRD# 5502379) is a previously registered broker and investment advisor. He is also a former Kalos Capital broker, where he worked from 2013 to 2017.

Both brokers were named in a FINRA arbitration filing against Kalos Capital in relation to the sale of securities offered by GPB Capital Holdings, a New York-based investment firm that offered unregistered and high-risk private-placement securities through a number of individual limited partnerships.

Earlier this year, it reported major losses in its two largest investment funds, which collectively held approximately $1.2 billion of investors’ money. GPB Capital funds were sold through more than 60 independent broker-dealers. It has since been embroiled in legal disputes and claims that it was nothing more than an elaborate Ponzi scheme.

Under FINRA Rules, brokerage firms are responsible for supervising their brokers and may be liable for misconduct. Investors who suffered losses after investing with Mr. Baerenz or Mr. Sweat may be able to recover some or all of their investment through FINRA arbitration.

Prior to their registration with Kalos Capital, both Mr. Baerenz and Mr. Sweat were registered with Cetera Advisors and Pacific West Securities.

Jeffrey R. Sonn is an experienced investor losses attorney. If you suffered losses because a financial professional or corporate executive misappropriated funds, Mr. Sonn will protect your rights and interests. Please do not hesitate to contact the Sonn Law Group today for a free review of your claim.