October 13, 2015 Comments (0) Blog, Securities Fraud

Recovery of UBS Structured Notes Linked to the V10 Currency Index with Volatility Cap

(Last Updated On: March 31, 2017)

Have you suffered investment losses in UBS Structured Notes Linked to the V10 Currency Index with Volatility Cap? If so, the securities attorneys of The White Law Group may be able to help you recover your losses in a FINRA arbitration claim against the brokerage firm that recommended the investment.

UBS AG has agreed to pay $19.5 million to settle charges that it made false or misleading statements and omissions in offering materials provided to U.S. investors in structured notes linked to a proprietary foreign exchange trading strategy. UBS, one of the largest issuers of structured notes in the world, agreed to settle the SEC’s charges that it misled U.S. investors in structured notes tied to the V10 Currency Index with Volatility Cap by falsely stating that the investment relied on a “transparent” and “systematic” currency trading strategy using “market prices” to calculate the financial instruments underlying the index, when undisclosed hedging trades by UBS reduced the index price by about five percent.

Structured notes are a complex financial product that typically consists of a debt security with a derivative tied to the performance of other securities, commodities, currencies, or proprietary indices. The return on the structured note is linked to the performance of the derivative over the life of the note. The UBS V10 Currency Index with Volatility Cap is a proprietary index, developed and sponsored by UBS AG that measures the performance of a notational algorithmic trading strategy designed to identify and exploit trends in G10 foreign exchange forward rates.

The White Law Group is investigating potential securities fraud claims involving broker-dealers’ improper recommendation that some investors purchase this investment. Brokerage firms that sell such products are required to perform adequate due diligence on the investments to ensure a reasonable likelihood of success, and to evaluate whether the investments are suitable in light of the client’s age, net worth, investment experience, and investment objectives. Firms that fail to perform adequate due diligence, or that make unsuitable recommendations, can be held responsible for losses in a FINRA arbitration claim.

If you suffered losses investing in UBS Structured Notes Linked to the V10 Currency Index with Volatility Cap and would like a free consultation with a securities attorney, please call The White Law Group at 888-637-5510.

The White Law Group is a national securities arbitration, securities fraud, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.

For more information on The White Law Group, visit http://www.whitesecuritieslaw.com.  For more information on The White Law Group’s investigation of UBS’s V10 Currency Index products and specifically UBS’s V10 Enhanced FX Carry Strategy, visit http://www.whitesecuritieslaw.com/2015/03/02/securities-investigation-involving-ubss-v10-enhanced-fx-carry-strategy/.