GPB Capital Holdings Reports Sharp Decline in Assets Under Management

The alternative asset manager indicated that GPB’s AUM has decreased over 45%.

The Sonn Law Group is investigating allegations that brokers recommended investments in GPB Capital Holdings. If you or a family member has suffered losses investing, we want to discuss your case. Please contact us today for a free review of your case.

GPB Capital Holdings reported a dramatic decrease in its regulatory assets under management at the end of June compared to 18 months earlier. In June 2020, the firm reported $238.6 million in regulatory assets under management, according to its Form ADV filed with the SEC.

At the end of 2017, 18 months prior, the firm reported $434.3 million in regulatory assets under management, a decrease of 45.2%. GPB spokesperson Nancy Sterling did not comment on the reason for the sharp decline.

GPB Capital also reported in the SEC filings that the company that provides valuations for the company’s private funds has resigned without cause; the auditor for one fund, Armada Waste Management, resigned without cause; and Highline Management Inc., was created at the start of the year to manage GPB’s business affairs. 

GPB has been involved in many levels of controversy in the recent past. In November 2019, GPB informed investors that they would not be supplying the audited financial reports by their deadline, even though investors have been awaiting the audits since April. GPB Capital has also been under investigation by both the SEC and the FBI. In October, GPB’s CCO was charged with obstruction of justice in relation to a GPB investigation. 

GPB has also been named in a class action brought by investors alleging various forms of misconduct against GPB Capital and its affiliates. 

GPB Capital Holdings manages the following nine private placements:

• GPB Automotive Portfolio, LP
• GPB Cold Storage LP
• GPB Holdings, LP
• GPB Holdings II, LP
• GPB Holdings III, LP
• GPB Holdings Qualified, LP
• GPB NYC Development, LP
• GPB Waste Management Fund, LP

Last summer, GPB stated that GPB Holdings II and GPB Automotive Portfolio had seen declines in value of 25.4% and 39%, respectively.

Contact Us Today

The Sonn Law Group is currently investigating allegations that brokers recommended investments in GPB Capital Holdings. We represent investors in claims against negligent brokers and brokerage firms. If you or your loved one experienced investment losses, we are here to help. For a free consultation, please call us now at 866-827-3202 or complete our contact form.