securities lawyer
Home | Discussion Forums | Bookstore
Arbitration Hedge Funds Mutual Funds Investors Brokers Advisers CorpFin IPO Compliance
Search News Law Blogs SEC Rules Caselaw Bookstore Messages Links

Sallah Astarita & Cox, LLC Investigates UBS Puerto Rico Bond Fund Losses

UBS Sales Practices in Puerto Rican Bond Funds under review


SALLAH ASTARITA & COX, LLC, an AV rated, nationally recognied law firm, has announced its investigation into investor claims against UBS Financial Services Inc. of Puerto Rico (UBS PR) over its sales of leveraged bond funds to investors. The investigation concerns both sales practices of the advisors and the bond funds themselves which included the Puerto Rico Fixed Income Funds and the Puerto Rico Investors Tax-Free Fund, Inc.

UBS PR has reported huge losses in multiple proprietary closed-end bond funds. These funds were frequently sold to conservative investors or retirees seeking income. Some investors were encouraged to borrow money to purchase these Funds. According to some investors and press reports, other investors were encouraged to purchase the bonds, and then to borrow against the value of the bonds in the accounts.

The United States Securities and Exchange Commission has issued a Cease-and-Desist Order in an Administrative Proceeding, No. 3-14863, against UBS Puerto Rico. In the Order, UBS Puerto Rico agreed to pay $26 million in disgorgement and fines to settle charges that it sold allegedly mispriced closed end funds to investors. The alleged mispricing related to proprietary funds of UBS Puerto Rico which invested in Puerto Rican municipal bonds. The SEC order does not include any recovery for investors who were harmed by this conduct.

Investors who have suffered losses in these securities will need to file arbitration proceedings in order to recover their losses. Sallah Astarita & Cox, LLC is a boutique securities law firm comprised of veteran securities litigators and former SEC Senior Enforcement Attorneys, who have represented parties in over 650 arbitrations, including dozens of investors in Puerto Rico,

If you have questions about your legal rights, or have been the victim of investment fraud, please contact the firm in Florida, at 561-989-9080 or in New York at or email.


Nothing herein is intended as legal or financial advice. The law is different in different jurisdictions, and the facts of a particular matter can change the application of the law. Please consult an attorney or your financial advisor before acting upon the information contained in this article.  


Return to The Securities Law Home Page 

  



Welcome

Search

Securities Laws, Rules and Regulations


Related Sites

Article Archives

Securities Law Blog

SECLaw Bookstore

SECLaw News Update

Securities Arbitration Attorney

Securities Employment Attorney

Securities Defense Attorney


Sallah Astarita & Cox, LLC


Advertise With Us / / Link to Us / / Help / / Disclaimer / / Privacy / / Contact Us

Copyright 2013. VGIS Communications. All Rights Reserved. 60 Pompton Avenue Nothing herein is intended as legal or financial advice. The law is different in different jurisdictions, and the facts of a particular matter can change the application of the law. Please consult an attorney or your financial advisor before acting upon the information contained in this article. For additional information, contact Mark J. Astarita, Esq., a partner in the law firm of Sallah Astarita & Cox, who represents financial professionals in a wide variety of matters. Mr. Astarita can be contacted by email at astarita@sallahlaw.com.

Visit National Securities Law Firm of Sallah Astarita & Cox, LLC