Thousands of investors have lost their life savings after GWG Holdings filed for Chapter 11 bankruptcy. Many people trusted their retirement funds to L Bonds, only to see their investments crash in value.
Some bondholders now face getting back just three cents on the dollar of their original investment. The shock has left many scrambling to understand what happened and what options they have left.
GWG Holdings, once valued for its life insurance portfolio, collapsed under mounting debts and regulatory pressure. The SEC launched an investigation into the company’s sales practices before the bankruptcy filing.
Now, a Wind Down Trust manages what remains of the company’s assets. Investors need clear facts about filing claims, joining legal actions, and realistic recovery chances. The road ahead is tough.
Key Takeaways
- GWG Holdings filed for Chapter 11 bankruptcy in April 2022, leaving investors with only three cents on the dollar for their L Bond investments.
- The bankruptcy followed missed payments in January 2022 and resulted in a $1.3 billion loss for thousands of investors, many of whom were retirees.
- Michael Goldberg now serves as litigation trustee for the GWG Wind Down Trust, which sold the life insurance portfolio for just $10 million in October 2023.
- Legal firm Haselkorn & Thibaut is helping investors pursue claims through FINRA arbitration against financial advisors who sold these bonds.
- The SEC launched an investigation into GWG Holdings in 2020, focusing on their L Bond sales practices and accounting methods.
Overview of GWG Holdings Bankruptcy
GWG Holdings filed for Chapter 11 bankruptcy in April 2022 after failing to meet financial obligations on its $1.6 billion L Bond program. The company’s collapse left thousands of investors facing massive losses, with many seeing their retirement funds drop to mere pennies on the dollar.
Timeline of Events Leading to Bankruptcy
GWG Holdings’ financial troubles became public on December 8, 2021, when a press release revealed a staggering $169.8 million net loss for the first three quarters of that year. This major loss served as the first clear warning sign of the company’s unstable finances.
The situation worsened just weeks later on January 15, 2022, when the firm missed $10.35 million in interest payments and $3.25 million in principal payments due to L Bondholders.
The missed payments triggered a rapid downward spiral for the investment firm. By April 5, 2022, GWG began formal preparations for bankruptcy protection after failing to meet its financial obligations.
The final blow came on April 20, 2022, when the company officially filed for Chapter 11 bankruptcy. Later that year, on August 31, the SEC charged Western International Securities for selling GWG L Bonds, while a December 15 report accused the company of operating as a Ponzi scheme, using new investor money to pay earlier investors.
Filing for Chapter 11 Protection
GWG Holdings took a major step on April 20, 2022, when it filed for Chapter 11 bankruptcy protection. This legal move allowed the company to reorganize its debts while continuing operations.
The bankruptcy filing came after months of financial trouble that left L bondholders facing huge losses on their investments. Court records show these bankruptcy cases often stretch between 17 months and five years, creating a long wait for investors hoping to recover their money.
The bankruptcy process created the GWG Wind Down Trust to handle investor claims and manage remaining assets. Michael Goldberg was appointed as litigation trustee to oversee this complex process.
Many investors were shocked to learn settlement offers might return just three cents on the dollar of their original investment. This devastating outcome has prompted numerous legal actions against financial advisors who sold these high-yield bonds.
The next section explores the key issues faced by investors following this bankruptcy filing.
Key Issues Faced by Investors
GWG Holdings’ bankruptcy left investors with massive losses, often receiving as little as three cents on the dollar for their L Bonds. Many retirees lost their life savings when the company filed for Chapter 11 protection, forcing them to file claims through the wind down trust for any chance of recovery.
Significant Financial Losses for L Bondholders
L Bondholders face crushing financial losses in the GWG Holdings bankruptcy case. Investors who trusted their money to these high-yield bonds now recover just 3 cents on the dollar of their original investment.
This means someone who invested $100,000 will receive only about $3,000 back. The total losses for all L Bondholders amount to a staggering $1.3 billion across the investor community.
Specific recovery rates vary based on purchase timing. Investors who bought L Bonds between June 3, 2020, and April 16, 2021, can expect approximately $31.48 for each $1,000 unit purchased.
These minimal returns have devastated many retirement accounts and financial plans. Financial advisors now face questions about their due diligence practices regarding these investment products that promised higher yields but delivered massive losses instead.
Reduced Value of Investments
GWG L Bond investments have crashed in value since the company stopped making interest payments in April 2021. Investors now face severe losses with projected recoveries of just three cents on the dollar.
This means for every $1,000 invested in L Bonds, bondholders will likely receive only $31.48 back through the bankruptcy process. The total investor losses amount to a staggering $1.3 billion, affecting thousands of people who placed their trust in these high-yield debt securities.
Many bondholders were retirees who invested significant portions of their savings, creating financial hardship and forcing many to delay retirement plans.
The dramatic drop in investment value stems from GWG Holdings’ inability to maintain operations as a going concern amid mounting financial troubles. Financial advisors who recommended these bonds now face litigation from clients seeking to recover their losses.
The SEC launched investigations into how these products were marketed and sold to investors. The Wind Down Trust now manages the remaining assets, including the life insurance portfolio, which must be liquidated to provide even the minimal returns to investors.
The role of the GWG Wind Down Trust becomes crucial in determining how remaining assets will be distributed.
Limited Recovery from Settlement Offers
Beyond the reduced value of investments, GWG L Bond holders face harsh realities with settlement offers. The recent $50.5 million settlement represents a tiny fraction of the $1.3 billion owed to investors.
For each $1,000 unit purchased, bondholders will receive only $31.48 – less than 4% of their original investment. This settlement, managed through the GWG Wind Down Trust, leaves many retirees with massive losses to their savings.
Investors must decide whether to accept these minimal returns or opt out by March 6, 2025, to pursue other legal options. The settlement approval process includes a bar order hearing set for April 16, 2025.
Many bondholders have filed suit against broker dealers who sold these high-yield investment vehicles, hoping to recover more than “three cents on the dollar” offered in the current deal.
Financial advisors now face claims from clients who lost retirement funds in what some legal firms describe as investment fraud.
The Role of the GWG Wind Down Trust
The GWG Wind Down Trust now manages what remains of GWG Holdings’ assets after bankruptcy. Michael Goldberg serves as the litigation trustee, working to recover funds for L Bond investors who face losses of up to 97% of their original investment.
Purpose and Objectives of the Wind Down Trust
GWG Wind Down Trust exists to manage and distribute assets fairly to all stakeholders during bankruptcy proceedings. Michael Goldberg serves as litigation trustee, working to maximize value from remaining assets while the trust handles claims from L bondholders who faced severe investment losses.
This financial structure aims to create transparency by providing clear asset information to affected investors. Many bondholders received settlement offers worth just three cents on the dollar, highlighting the trust’s challenging task of resource allocation.
The trust must balance competing interests between various WDT interest holders while liquidating GWG Holdings’ life insurance portfolio on the secondary market. Fair value assessments guide this process as the trust works through bankruptcy court requirements.
Financial advisors monitor these activities closely since effective date distributions remain a primary concern for stakeholders seeking recovery from their significant losses.
Distributions and Settlements for Investors
Investors in GWG Holdings face grim recovery prospects through the Wind Down Trust’s distribution plan. The trust will distribute about $59.8 million after legal fees, meaning L Bondholders might receive just $36.90 for every $1,000 they invested.
This tiny fraction represents a massive loss for people who trusted their money with GWG. The GWG Litigation Trust has secured $91.3 million in total settlements, including an $8 million claim with Fifth Season Investments, LLC and proceeds from a $10 million sale of a life insurance portfolio.
These settlement funds provide some relief, but most investors will recover only pennies on the dollar from their original investment. Many bondholders face tough choices as they wait for the bankruptcy court to approve final distributions.
Financial advisors now stress the importance of understanding bond risks before investing retirement funds in similar high-yield products. The next critical phase involves the status of the life insurance portfolio sale and its impact on final recovery amounts.
Status of the Life Insurance Portfolio Sale
The GWG Wind Down Trust completed a major transaction on October 13, 2023, selling its life insurance portfolio to Apex Longevity Fund, LLC. This sale marked a critical point for L Bondholders hoping to recover some of their losses.
The deal included 100% of the Trust’s membership interests and generated only $10 million in gross proceeds. Many financial advisors had expected the life insurance policies to fetch a much higher value, making this outcome a bitter disappointment for those affected by the bankruptcy.
The portfolio once formed the backbone of GWG Holdings’ asset base before the company’s financial troubles began.
Michael Goldberg, serving as the litigation trustee, oversaw this sale as part of the bankruptcy court proceedings. The modest $10 million return stands in stark contrast to what many L Bond investors had hoped to recover from their investments.
For most bondholders, this means they might receive just pennies on the dollar compared to their original investment amounts. This disappointing result has pushed more investors toward legal action as they seek to recover their losses through other means.
The SEC investigation into GWG Holdings continues as regulators examine what went wrong with the company’s operations.
Legal and Regulatory Actions
The SEC launched a probe into GWG Holdings while investors filed claims through law firms, seeking to recover their losses through both court cases and arbitration processes. Read more to learn about your rights as an affected investor.
SEC Investigation into GWG Holdings
GWG Holdings faced serious trouble when the SEC launched an investigation in 2020. Federal regulators served the company with a formal subpoena in October that year, focusing on L Bond sales practices and accounting methods.
This probe created immediate problems for GWG’s business operations. Many broker-dealers stopped selling GWG bonds after learning about the investigation, which cut off a vital source of capital.
GWG officials claimed the SEC’s actions directly harmed their ability to raise money. Without new bond sales, the company struggled to maintain cash flow for its operations. The investigation examined how GWG marketed its high-yield products to investors and whether proper disclosures were made about risks.
These regulatory issues eventually contributed to GWG’s financial collapse and bankruptcy filing, leaving many bondholders facing major losses on their investments.
Investor Claims Handled by Legal Firms
Haselkorn & Thibaut now represents GWG L Bondholders seeking to recover their losses through legal channels. The firm has filed claims against financial companies like Western International Securities and Centaurus Financial through FINRA arbitration processes.
These legal actions aim to help investors recoup money lost when GWG Holdings filed for bankruptcy protection.
Haselkorn & Thibaut offers representation to affected investors on a contingency fee basis, meaning they only collect payment if they win cases. This firm has already secured important FINRA awards for bondholders, with successful rulings in 2023.
Many investors have turned to this specialized firm rather than pursuing individual lawsuits against the bankrupt company.
Arbitration and Litigation Updates
Haselkorn & Thibaut handling investor claims has moved forward with formal legal actions. Investors now face a complex mix of arbitration cases and lawsuits against various parties involved in the GWG L Bonds debacle.
Haselkorn & Thibaut has emerged as a major player, targeting brokerage firms that recommended these risky investments to clients. Their track record includes over $3 million in recoveries through FINRA arbitration proceedings, giving affected investors some hope for compensation.
The April 3, 2025 motion for Rule 2004 examination marks an important step in the legal process.
Haselkorn & Thibaut brings years of securities fraud experience to the table, strengthening investors’ positions in ongoing cases. The firm works on a contingency basis, meaning they collect fees only if investors recover money.
This arrangement has made legal action more accessible to L Bondholders who already lost substantial sums. Class action lawsuits continue alongside individual claims, with attorneys focusing on financial advisors who may have failed their duty to properly vet these high-yield investments before selling them to clients.
Economic Impact on Investors
GWG’s bankruptcy has left many retirees with empty accounts and broken dreams. Investors who trusted their life savings to L Bonds now face harsh choices about their financial futures.
Loss of Retirement Savings
GWG L Bond investors face crushing blows to their retirement funds. Many retirees who placed $100,000 into these bonds now receive only $3,000 back through the bankruptcy settlement.
This tiny return creates immediate financial hardship for seniors who counted on these funds for daily expenses. The investment losses hit hardest for those who can’t return to work or find new income sources.
Financial advisors who pushed these bonds often presented them as safe options, misleading older clients about the actual risks involved. The premium rates offered by GWG masked serious balance sheet problems that eventually led to default.
Retirement accounts that took decades to build now stand empty or severely depleted, forcing affected investors to make drastic lifestyle changes and delay retirement plans indefinitely.
Impact on Financial Planning
Beyond lost retirement funds, GWG’s collapse has forced many investors to rebuild their financial plans from scratch. Financial advisors report clients facing painful choices after L Bond investments worth $100,000 now yield only $3,000 in potential recovery.
This dramatic value reduction has disrupted carefully structured retirement timelines, college funding strategies, and estate plans.
Many investors must now delay retirement goals or seek additional income sources to fill the gaps created by these investment losses. The bankruptcy’s timing has proven especially harmful for those near retirement age with limited earning years remaining.
Financial planning experts note that recovery from such significant losses often requires five to ten years of adjusted savings rates and investment strategies, particularly challenging for older investors with shortened time horizons.
Challenges for Institutional Investors
Institutional investors face major hurdles with GWG L Bonds that limit their options. These bonds were often falsely pitched as safe investments, making proper research difficult for large funds and organizations.
Many institutions now struggle with the stark reality that recovery rates after bankruptcy might reach only three cents on the dollar. The SEC investigation has further complicated matters for these investors.
The biggest problem remains the complete lack of liquidity – institutional investors cannot sell these assets or recover their value through normal market channels. This forces them to join complex legal processes through the GWG Wind Down Trust or seek help from firms like Mayer Brown LLP.
The financial impact extends beyond direct losses to include damaged portfolios and broken trust with stakeholders. Investor protection measures become crucial as we examine how due diligence could have prevented such widespread losses.
Investor Protection Measures
Smart investors must learn from the GWG Holdings collapse to protect their money. Proper research and risk assessment can help spot warning signs before a company fails.
Importance of Due Diligence
Financial due diligence serves as a critical shield against investment disasters like the GWG Holdings bankruptcy. Investors who skip this vital step often face severe consequences, as seen with L bondholders who received mere “three cents on the dollar” for their investments.
Proper review of financial records helps spot warning signs that might indicate trouble ahead, such as cash flow problems or regulatory issues that plagued GWG before its collapse.
The SEC’s Division of Enforcement investigated GWG precisely because these warning signs went unheeded by many investors.
Transparency during the due diligence process builds trust between financial advisors and their clients. Many GWG investors now work with attorneys to file claims through the GWG Wind Down Trust because they lacked complete information about their investments.
Michael Goldberg, the litigation trustee, now manages claims that might have been avoided with thorough initial research. Smart investors examine financial statements, cash flow patterns, and compliance history before committing funds to high-yield opportunities like the GWG L bonds that promised attractive returns but delivered significant losses instead.
Recognizing Warning Signs of Risky Investments
Investors can spot risky investments like GWG L bonds by watching for unusually high yields that seem too good to be true. Red flags appeared when GWG Holdings offered returns far above market rates while investing in tangible assets with unclear valuations.
Smart investors check SEC filings and look for regulatory concerns before putting money into bond markets. The $1.6 billion loss faced by L bondholders shows why thorough research matters.
Financial advisors who push complex products without explaining risks often earn large fees at their clients’ expense. Before investing, ask direct questions about how the company makes money and what happens if they fail.
Many GWG investors missed these warning signs and now face settlements worth just three cents on the dollar. Learning to spot investment danger signals helps protect your savings from similar disasters.
Seeking Professional Financial Advice
Professional financial advisors play a vital role for investors affected by the GWG Holdings bankruptcy. These experts can assess your current financial situation and help create a new plan after investment losses.
Many L Bondholders lost substantial retirement savings when GWG offered settlements worth only three cents on the dollar. Financial advisors with experience in bankruptcy cases can guide you through filing claims with the GWG Wind Down Trust and explain potential recovery options.
Legal counsel remains essential for investors exploring claims against third parties. Michael Goldberg, the litigation trustee, has encouraged bondholders to seek independent legal representation.
Experienced attorneys can evaluate your case for FINRA arbitration claims or other legal remedies. They can also help you understand the complex bankruptcy code that governs the GWG proceedings and determine if your specific situation warrants action against financial advisors who may have improperly recommended these high-risk investments.
Lessons Learned from GWG Holdings Bankruptcy
The GWG Holdings bankruptcy teaches us that smart investors must spread their money across different types of assets and avoid putting too much into risky bonds that promise high returns.
Diversification of Investment Portfolios
Spreading your money across different types of investments helps protect you from major losses. GWG L bond investors learned this lesson the hard way when many lost their retirement savings by putting too much money into one risky product.
Financial advisors stress that a mix of stocks, bonds, real estate, and other assets can shield you from market downturns. If one investment fails, like GWG Holdings did during its bankruptcy, others in your portfolio might still perform well.
This balance acts as a safety net against complete financial disaster.
Smart investors avoid putting all their funds into high-risk products, no matter how promising the returns seem. The GWG litigation trust now handles claims from investors who faced devastating losses, with some reports suggesting they might recover only three cents on the dollar.
Michael Goldberg, working with the wind down trust, continues to manage the process of asset liquidation. Experienced financial advisors can spot warning signs of risky investments before they cause harm, making professional guidance valuable for building a diverse portfolio.
Avoiding High-Risk Investments
Smart investors steer clear of high-risk products like GWG L Bonds that promise big returns without proper backing. Many GWG investors lost their money because these bonds were sold as safe options when they were actually quite risky.
Financial experts suggest spreading your money across different types of investments to reduce possible losses. The GWG case shows why investors must look beyond marketing claims and check the real risks behind any investment product.
Three cents on the dollar is all most bondholders can expect to recover, proving that what seems too good to be true usually is. Thorough research and talks with trusted financial advisors help spot warning signs before putting your savings at risk.
Understanding bond and securities risks requires knowledge about how these complex products work in changing markets.
Understanding Bond and Securities Risks
Many investors lost money in GWG L Bonds because they didn’t grasp the real risks. These bonds were sold as safe options but carried high risks that weren’t made clear. Bond risks include default risk (when issuers can’t pay), interest rate risk (bonds lose value when rates rise), and liquidity risk (trouble selling quickly).
The GWG case shows why investors must read all documents and ask hard questions about potential returns versus risks. Financial advisors failed their clients by not explaining that GWG L Bonds were tied to life insurance policies – a complex market with unpredictable returns.
Investors should demand clear answers about how bonds make money and what could go wrong. The SEC investigation into GWG Holdings revealed serious problems with how these investments were marketed.
Most L Bond holders will get back only three cents on each dollar invested, proving these weren’t the safe investments many thought. Michael Goldberg, through the GWG Wind Down Trust, now manages what remains of the company assets.
This painful lesson shows why diversification matters – putting money in different types of investments reduces the chance of major losses when one investment fails.
Recovery Options for Affected Investors
GWG investors must act fast to secure their money through available recovery paths. Affected bondholders can file claims with the Wind Down Trust or seek legal help from firms specializing in investment loss cases.
Filing Claims Through the Wind Down Trust
Investors must file claims directly with the GWG Wind Down Trust to recover any portion of their losses. The trust now holds about $3 million in net assets and expects to receive $59.8 million from settlements after legal fees are paid.
For most L Bondholders, this means they might get back only $36.90 for every $1,000 they invested. Michael Goldberg, the litigation trustee, has advised affected parties to submit proper documentation through Macco Restructuring Group, LLC, which handles claim processing.
The bankruptcy court has set strict deadlines for filing these claims. Investors should gather their investment statements, proof of purchase for GWG L bonds, and any correspondence with financial advisors.
Many bondholders have sought help from law firms like Mayer Brown LLP to navigate this process. The Wind Down Trust website provides claim forms and instructions, though the limited recovery amount has pushed many investors to pursue additional legal action against third parties who sold these investments.
Legal Avenues for Recovering Losses
GWG L Bond investors have several legal paths to recover their money. FINRA arbitration against brokers who failed to disclose risks has proven effective, with Haselkorn & Thibaut alone securing over $3 million for clients.
This option works on a contingency fee basis, meaning investors pay nothing unless money is recovered. The GWG Litigation Trust has secured $91.3 million through settlements, with about $59.8 million going to the Wind Down Trust after legal fees.
Filing claims through bankruptcy court proceedings offers another route for investors seeking compensation. Haselkorn & Thibaut now specializes in helping GWG bondholders navigate these complex claims processes.
The next critical step involves understanding how to properly file settlement paperwork to maximize potential recovery amounts.
Navigating Settlement Processes
Investors facing losses from GWG Holdings must follow specific steps to join the settlement process. The pending $50.5 million agreement requires court approval, with a bar order hearing set for April 16, 2025, in Houston.
This settlement, combined with other agreements, totals about $91.3 million for L Bond investors. The math works out to roughly $31.48 per $1,000 unit of L Bonds—just over three cents on the dollar of original investment value.
Many financial advisors suggest that filing securities arbitration claims might yield better results than waiting for the Wind Down Trust distributions.
The settlement process involves submitting proper documentation through Macco Restructuring Group, LLC, which manages claims under Michael Goldberg’s oversight. Investors must track deadlines, provide proof of bond ownership, and complete required forms.
The GWG Litigation Trust handles these claims while working with Mayer Brown LLP on legal matters. Brad Heppner’s role in the company’s downfall remains a focus of SEC investigations, which could impact final recovery amounts.
Policyholder interests also factor into the complex settlement calculations.
Future Outlook for GWG Holdings’ Investors
GWG investors face a long road to recovery with experts predicting minimal returns from ongoing bankruptcy proceedings. The sale of remaining assets and resolution of legal claims will shape final payouts, though most bondholders should prepare for substantial losses.
Expected Outcomes from Bankruptcy Proceedings
Bankruptcy proceedings for GWG Holdings offer grim prospects for L Bond investors. The Wind Down Trust reported just $3 million in retained assets as of April 2025, with projected distributions of only $36.90 per $1,000 invested.
This tiny return represents a massive loss for bondholders who trusted their savings to the company. Current settlements total $91.3 million, which equals about 5.6% of the $1.6 billion in outstanding L Bonds.
Haselkorn & Thibaut continues to fight for better outcomes through FINRA arbitration claims. Michael Goldberg, serving as litigation trustee, faces the complex task of maximizing remaining asset value for distribution.
The bankruptcy court must still approve final settlement amounts before any payments reach investors. Most bondholders will recover just pennies on the dollar from their original investment, forcing many to rebuild retirement plans from scratch.
Updates on Asset Liquidation
The GWG Wind Down Trust has sold most of its assets in recent months. A major sale included the life insurance policy portfolio, which brought in $10 million. The trust also sold Beneficient stock for about $6.2 million.
These sales have left the trust with only $3 million in assets as of April 2025.
L Bond investors face grim news about their investments. Each investor might receive just $36.90 per $1,000 they put into GWG Holdings. This tiny return depends on meeting all settlement conditions.
The trust also settled an $8 million claim with Fifth Season Investments as part of its final efforts to resolve outstanding financial matters before closing operations.
Potential for Investor Reimbursement
Asset liquidation progress directly affects investor reimbursement prospects. For GWG L Bond investors, recovery amounts remain limited despite the $91.3 million settlement reached with the GWG Litigation Trust.
After attorney’s fees and other costs, only $59.8 million will flow to the GWG Wind Down Trust for distribution. This translates to a projected recovery of just $36.90 per $1,000 invested—roughly three cents on the dollar.
Many investors who placed retirement savings in these bonds face substantial financial losses.
Michael Goldberg, as litigation trustee, continues efforts to maximize returns through legal actions against responsible parties. Investors should track bankruptcy court proceedings for updates on payment timing.
Some financial advisors suggest exploring claims against third parties who sold GWG L Bonds, as SEC investigations into GWG Holdings might reveal additional recovery paths. The Macco Restructuring Group manages remaining assets, but full reimbursement appears unlikely given the gap between investor losses and available funds from the settlement approval process.
GWG L Bonds Value Smashed: Investors File Claims for Loss Recovery
GWG L Bond investors faced crushing losses after the company’s bankruptcy, with total damages reaching about $1.3 billion. The March 12, 2025 settlement offers just $50.5 million to those who bought bonds between June 2020 and April 2021.
This means investors will receive roughly $31.48 per $1,000 invested—a recovery rate of only three cents on the dollar. Many retirees lost their life savings through these investments.
Haselkorn & Thibaut has stepped up to help investors recover funds. Through arbitration efforts, they’ve secured over $3 million for clients affected by the GWG collapse.
The GWG Wind Down Trust now manages remaining assets while the SEC continues its investigation into the company’s practices. Financial advisors stress that this case shows why investors must check investment risks before putting money into high-yield bonds.
Conclusion
The GWG Holdings bankruptcy has left thousands of investors facing harsh financial realities. L Bondholders now struggle with massive losses, often recovering mere pennies on their dollar investments.
The Wind Down Trust offers limited help through settlements that fall far short of original investment values. Legal battles continue as investors work with attorneys to file claims against financial advisors who sold these risky bonds.
This case teaches crucial lessons about investment risks and the need for proper portfolio diversity. Smart investors must conduct thorough research before putting money into any single company’s securities.
The SEC investigation and ongoing litigation may bring some closure, but most investors will never recover their full investments. Protection comes through knowledge, caution, and spreading investments across different assets.