09/08/2023
UBS Financial Services Inc. (“UBS”) recently settled charges with the Securities and Exchange Commission (“SEC”) concerning its failure to adopt and implement suitable investment policies for volatility-linked exchange-traded products (“ETPs”) from January 2016 to January 2018. The SEC found that UBS’s discretionary Portfolio Management Program (“PMP”) financial advisors purchased and held the iPath S&P 500 VIX Short-Term Futures ETN (“VXX”) for advisory clients, which was inconsistent with the product’s intended purpose as outlined in offering documents and communicated to UBS by the issuer of VXX.
In response to the SEC’s findings, UBS agreed to a settlement without admitting any wrongdoing. The terms of the settlement include a censure, disgorgement, and prejudgment interest totaling $112,274, as well as a civil penalty of $8 million. The funds from the penalty will be distributed to investors affected by UBS’s actions.
Have you suffered losses from VXX short-term futures?
If you or someone you know lost money as an investor, please call the Frankowski Firm to discuss your potential legal remedies.
https://frankowskifirm.com/ubs-reaches-settlement-with-sec-over-inappropriate-vxx-investments/
No representation is made that the quality of the legal services to be performed is greater than the quality of legal services performed by other lawyers.
