SAN JUAN, Puerto Rico, Feb. 13, 2015 (GLOBE NEWSWIRE) -- The securities arbitration law firms of Klayman & Toskes, P.A., and the Carlo Law Offices, P.S.C., located in Puerto Rico, announce a recent arbitration claim filed with the Financial Industry Regulatory Authority (FINRA), on behalf of an elderly investor against UBS Financial Services Incorporated of Puerto Rico and UBS Financial Services, Inc. (NYSE:UBS) (collectively "UBS"). The arbitration claim alleges damages in excess of $300,000 that are the result of FINRA sales practice violations, including unsuitable investment advice, that led to the over-concentration in UBS Puerto Rico Bond Funds which transpired as a result of UBS' failure to supervise its financial advisors.
According to securities arbitration attorney, Steven D. Toskes, "FINRA sales practice rules and regulations were enacted to assure the complete and timely disclosure of all information relevant for investment decisions. Specifically, to allow investors to knowingly, and with a reasonable level of transparency, evaluate risk." The arbitration claim alleges UBS and its financial advisors made material misrepresentations and omission of facts to the Claimant related to the risks associated with the UBS Puerto Rico Bond Funds. Additionally, due to the illiquid nature of the non-traded, UBS Puerto Rico closed-end bond funds, the Claimant was advised to take out a UBS Bank USA loan using the UBS Puerto Rico Bond Funds as collateral, which resulted in greater risks and losses.
The securities arbitration law firms of Klayman & Toskes, P.A., and Carlo Law Offices, P.S.C., are committed to the protection of Puerto Rico investor rights. It is our belief and conviction in the FINRA dispute resolution process and the legitimacy of Puerto Rico investor rights that governs our current investigations. Investors who possess information concerning UBS' sales practices related to UBS Puerto Rico Bond Funds, including the recommended use of UBS Bank USA loans and/or account margin, are encouraged to contact Steven D. Toskes of Klayman & Toskes, P.A. or Lcdo. Osvaldo Carlo of Carlo Law Offices, at (787) 919-7325, or visit our website at www.sueubspuertorico.com.