{"id":13575,"date":"2017-04-27T14:13:26","date_gmt":"2017-04-27T18:13:26","guid":{"rendered":"https:\/\/qa.bluevaultpartners.com\/?p=13575"},"modified":"2017-04-27T14:13:26","modified_gmt":"2017-04-27T18:13:26","slug":"ntr-and-bdc-march-sales-recover","status":"publish","type":"post","link":"https:\/\/qa.bluevaultpartners.com\/ntr-and-bdc-march-sales-recover\/","title":{"rendered":"NTR and BDC March Sales Recover"},"content":{"rendered":"
April 28, 2017 | by\u00a0by Beth Glavosek | Blue Vault<\/p>\n
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In March, we witnessed a significant one-month recovery in sales of nontraded REITs (NTRs) and Business Development Companies (BDCs). NTR sales in March were $622.6 million and BDC sales were $94.1 million, according to Blue Vault research.<\/p>\n
What accounts for this sudden change, and can it be sustained? We asked some industry spokespersons for their thoughts and perspectives.<\/p>\n
Securities America\u2019s Pete Zimmerman offered some observations about this sudden surge in sales. \u201cI think that there\u2019s been a lot of uncertainty in the industry, and perhaps advisors are starting to rebuild their confidence in recommending these investments,\u201d he says. \u201cWe\u2019ve seen the DOL fiduciary rule implementation delayed, and at the same time, advisors have had a chance to become more comfortable with new compensation structures.\u201d The combination of delaying pending regulations for the foreseeable future and gaining familiarity with the \u2018new norm\u2019 of compensation may have propelled advisors forward.<\/p>\n
1st<\/sup> Global\u2019s Mike Pagano says that nontraded REIT sales at his firm are up 22% over sales levels at year-end 2016. \u201cI think we\u2019re starting to see an uptick because advisors\u2019 comfort levels around FINRA 15-02 have increased,\u201d he says.<\/p>\n Zimmerman points out that, any time that change is introduced, it can take a while to fully embrace it. \u201cClouds have lifted a bit, so to speak, and advisors may have needed time to adjust to changes over the last couple of years. They also may be attracted to new products that sponsors are\u00a0rolling out,\u201d he says.<\/p>\n NTR and BDC March Sales Recover April 28, 2017 | by\u00a0by Beth Glavosek | Blue Vault In March, we witnessed a significant one-month recovery in sales of nontraded REITs (NTRs) … <\/p>\n