Concerned about investment losses in connection with the UBS “YES” Strategy?
Have you suffered losses investing in UBS Yield Enhancement Strategy (YES)? If so, the securities attorneys at The White Law Group may be able to help you by filing a FINRA Dispute Resolution Claim against the brokerage firm that sold you the investment.
The White Law Group is continuing its investigation involving the liability that UBS Financial Services may have for improper investment recommendations involving its Yield Enhancement Strategy.
As we previously reported in October of last year, UBS Financial Services has been under fire after more than two dozen customer complaints related to the UBS Yes Strategy, were allegedly filed against the firm.
The complex investment strategy, called Yield Enhancement Strategy, or “YES,” has reportedly already generated at least $60 million in losses for clients and dozens of customer complaints.
UBS brokers reportedly marketed the Yield Enhancement Strategy, or YES, to wealthy clients. During times of low market volatility, the strategy generated positive returns, but at the end of the year when market volatility increased, huge losses resulted. According to the Wall Street Journal, because the program used borrowed money, investors had to either add additional money when trades went down or sell their positions at a loss.
According to UBS marketing materials, the YES Strategy intended to “limit exposure” to extreme market moves, but according to the Wall Street Journal, the strategy had losses of more than13% one day last year.
The UBS YES strategy typically involved putting on four different options trades relating to an underlying stock index, such as the S&P 500, at different strike prices but with the same expiration date.
The strike price can be the point at which the owner of a “call” option can buy or the owner of a “put” option can sell the underlying security.
The sale of short-term, “out-of-the-money” puts and calls on an index such as when the underlying price of the index isn’t at or better than the option’s strike price, was coupled with the purchase of short-term below-market puts and above-market calls on the index to mitigate risk, according to UBS.
Recovery of Investment Losses with the UBS YES Strategy
The White Law Group continues its investigation of potential securities fraud lawsuits involving broker dealers who may have unsuitably recommended UBS YES Strategy to investors.
If you have suffered losses investing in UBS YES Strategy, please contact the securities attorneys at The White Law Group. For a free consultation, please call the offices at 888-637-5510.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Franklin, Tennessee.
We represent investors in FINRA arbitration claims in all 50 states. Our attorneys have recovered millions of dollars from many brokerage firms in the past, including UBS.
For more information on The White Law Group, and its representation of investors, please visit www.WhiteSecuritiesLaw.com.