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Podcast: Syndication Law & The Private Placement Memorandum Attorney
Episode: Securities Licenses and Real Estate Licenses for Reg D Syndications
Description: Syndicators engaging in fund creation or syndication do not require a real estate or securities license. While securities licensing poses challenges, selling securities does not necessitate a license. Regulation D allows sponsors to sell securities without involving a broker dealer. However, possessing a securities license entails ensuring suitability for individual investors, which can be problematic if the sponsor lacks knowledge of specific circumstances. To avoid issues, sponsors must clarify their role as a sponsor and not a registered investment advisor or broker dealer. Separating these roles is challenging, as investors may still rely on their information based on their...