Risks and Disclosures
1. Investment Risk
Investing in the Notes involves significant risk, including the potential loss of your entire investment. The Notes are not insured, not guaranteed by any governmental body, and subject to issuer performance and enforceability under applicable law.
2. Illiquidity
The Notes are non-transferable, non-tradable, and are not registered on any public exchange. There is no active secondary market, and none is expected to develop.
3. Legal and Regulatory Risks
While this offering relies on an exemption under Rule 506(c), changes in U.S. securities laws, enforcement priorities, or regulatory interpretations could affect enforceability or access to capital.
4. Enforcement Risk
The Notes are backed by a New York–law First Demand Guarantee (FDG). Although legally enforceable, recovery is subject to legal process, possible defenses by the guarantor, jurisdictional limitations, and execution risk.
5. Trustee Role
Gritstone Advisors acts solely as a contractual Trustee and Enforcement Agent, with fiduciary duties only to the extent provided in the applicable trust and enforcement agreements. Gritstone does not offer legal, tax, or investment advice.
6. No Guaranteed Returns
Although the Notes specify a face value repayment, returns are not guaranteed. Timing and amount of recovery may vary depending on enforcement outcomes, issuer solvency, and the performance of the underlying litigation asset.
The Issuer, Forbes Monaco GP, is a Delaware general partnership wholly owned and managed by a consortium of ultra-high-net-worth individuals (UHNWI), with estimated personal net worths exceeding $2 billion USD collectively. As a general partnership, the GP's owners are personally liable for its obligations, and the Notes are enforceable directly against the Issuer under New York law via First Demand Guarantee.
Investors should note that while asset tracing reports are available and provide visibility into the financial profile of the Issuer's principals, repayment of the Notes still depends on successful enforcement and realization of the assigned litigation receivable.
7. Conflicts of Interest
The issuer (Forbes Monaco GP) and affiliates may have economic interests that differ from those of Noteholders, including control over litigation outcomes or third-party agreements.
8. Accredited Investor Requirement
This offering is not open to the general public. Investors must be verified as “accredited” under Rule 501(a) of Regulation D. False certifications or circumvention of verification will result in immediate disqualification and possible legal liability.
9. No Legal or Investment Advice
All materials provided in connection with this offering are for informational purposes only and do not constitute legal, financial, tax, or investment advice. Each investor is strongly encouraged to consult with independent advisors.