Strong Ethical Foundations Important in 1031

Michele Falivene recently wrote an article for the banking industry about ethics. In it she states, “I have found there is a great deal of finger pointing going on these days as we grapple with the causes and impacts of the recession. Employees, businesses, government officials and consumers want to know who to blame and how to hold someone accountable for their losses. But it’s that lack of accountability and a very public absence of personal responsibility that has left many people without the answers they’re looking for.”

While we can’t rewrite the past for those 1031 exchange companies who engaged in questionable investment practices and pooled exchange funds, we can certainly revisit the principles that a Qualified Intermediary (QI) should offer - uncompromised integrity and a sound, ethical foundation.

A well-built, ethical foundation should be a vital part of the exchange company that you choose. A principled QI will explain their company’s commitment to best practices and make ethical considerations a primary decision-making factor. Detailed questions should be asked of the 1031 intermediary that you are considering using. Immediate answers for those questions should be forthcoming. You should be left having no lingering doubts.

1031 Corporation has built it’s foundation on these standards. As Henry Kravis said, “If you build that foundation - the moral and the ethical foundation as well as the business foundation and the experience foundation - the building won’t crumble.” In light of recent failures or “crumbling” in the 1031 exchange industry, 1031 Corporation is still standing strong. You can count on 1031 Corporation to provide our clients uncompromised integrity from a sound ethical foundation. For your 1031 exchange needs, please give us a call today at 888-367-1031.