ELLICOTT CITY, Md., May 3, 2013 (GLOBE NEWSWIRE) -- The Investment Program Association (IPA), a trade association for nonlisted direct investment vehicles, today commented on FINRA Regulatory Notice 13-18, which provides guidance on communications with the public concerning nonlisted real estate investment programs, including nonlisted real estate investment trusts (REITs) and nonlisted direct participation programs (DPPs) that invest in real estate.
"IPA members have always supported transparency, full disclosure, and balanced investor communications for nonlisted REITs and other nonlisted products offered by sponsor firms and sold by broker dealers in our industry," said Kevin M. Hogan, President and CEO of the IPA. "FINRA Notices like this recent release are models for proper investor communications protocols."
Notes to Editors:
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The nonlisted real estate investment trusts referred to in Regulatory Notice 13-18 are regulated by FINRA, registered with the Securities and Exchange Commission, and overseen by numerous state regulators. These nonlisted REITs must also file audited financial statements with the SEC.
- Broker dealers that offer nonlisted REITs generally have client requirements for annual income, net investable assets, and the total percentage of a client's portfolio that can be invested in all illiquid assets.
About The Investment Program Association
The Investment Program Association (IPA) was formed in 1985 to provide effective national leadership for the Direct Investment industry, including Non-Listed REITs (NLREITs), Business Development Companies (BDCs), Oil and Gas, and Equipment Leasing Programs. For the last 28 years, the IPA has successfully championed the growth of such products, which have increased in popularity with financial professionals and investors alike. It is estimated that by year end 2012, direct investments accounted for more than $100 billion in assets under management in the accounts of more than 1.5 million investors. Some $93 billion in assets under management are estimated to have been invested in non-listed REITs. The mission of the IPA is advocating direct investments through education