GWG L Bonds Update (August 2025): Wind Down Trust Recovery Outlook for Investors

The GWG Wind Down Trust filed its latest status report on August 15, 2025, with the U.S. Bankruptcy Court, providing new details for GWG L Bond investors. Liz Freeman, the GWG Wind Down Trustee, also released the trust’s recent financial statements. These reports cover the Trust’s activities for the quarter and year ending June 30, 2025.

Visit Iorio Law PLLC’s GWG L Bond Investor Recovery Center for the latest information about our firm’s investigation.

Key Takeaways from the GWG Wind Down Trust Report (June 30, 2025):

• The GWG Wind Down Trust reports only $5 million in net assets.
• The Trust has completed the sale of its final shares of Beneficient and has no further tangible assets to liquidate.
• Final court approval for the $50.5 million settlement with Brad Heppner and Beneficient is not expected until at least January 2026.

These points paint a clear picture of the limited recovery expected from the bankruptcy proceedings.

When Will GWG L Bond Investors Receive Payouts?

According to court filings, the GWG Wind Down Trust estimates that the total distribution from the four settlements will be between 2.694% and 3.446% of the approximately $1.67 billion in pre-petition GWG L Bond holdings. This means investors can expect to receive about $2.69 to $3.45 for every $100 invested.

A significant portion of these settlement proceeds is subject to court approval by the District Court in the Northern District of Texas. While a preliminary approval hearing is scheduled for September 24, 2025, final approval is not anticipated until at least January 2026. As a result, GWG L Bond investors will likely need to wait until 2026 to receive a distribution from the Trust.

Options for Additional Recovery Through FINRA Arbitration

With the projected bankruptcy recovery being minimal and not expected until 2026, FINRA arbitration claims against the selling broker-dealers remain the most viable way for investors to recover meaningful losses. These firms, which earned high commissions, had a legal duty to their customers.

Iorio Law PLLC, led by attorney August M. Iorio, has already recovered more than $3.5 million for GWG L Bond investors nationwide.  Iorio Law PLLC represents clients on a contingency-fee basis—no recovery, no fee.

Why FINRA Arbitration is the Best Path for Recovery:

• GWG L Bond investors have a 90% win rate in FINRA arbitration claims, which includes a recent award against Arete Wealth Management.

• FINRA and the SEC have sanctioned over 15 different selling broker-dealers and financial advisors who sold these risky securities, including Emerson Equity, Tony Barouti, and Western International Securities.

Why Choose Iorio Law PLLC?

Mr. Iorio has extensive knowledge of the GWG situation. His firm represents clients on a contingency-fee basis, which means there is no fee unless you recover. His client reviews highlight his effective communication and commitment to putting clients’ needs first.

Client Testimonials:

• ★★★★★ “I am pleased to recommend Iorio Law PLLC. Mr. Iorio represented me in a GWG matter. He did an extraordinary job on my behalf. He is knowledgeable, responsive, and extremely skilled. I received an excellent outcome because of Mr. Iorio’s representation on my behalf. I highly recommend him and would not hesitate to use him for any future legal matter.” – Henry L.
• ★★★★★ “August represented my associate and me in the GWG arbitration and accomplished what we thought was impossible. He successfully tracked down the elusive owner of a firm—who had sold the company shortly after our issue arose—and secured a fair settlement for us. Another law firm had already told me the case would be a ‘waste of their time,’ but Attorney Iorio took it on and was a bulldog.” – Allan F.

Explore Your Options: Free Case Evaluation

If you purchased GWG L Bonds through Emerson Equity, Western International Securities, Arete Wealth Management, Aegis Capital Corp—or any other broker-dealer—contact us for a free, confidential case evaluation. Our firm is dedicated to holding brokerage firms accountable and helping investors recover their losses.

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