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FINRA Claims Involving UBS Yield Enhancement Strategy Losses Continue to Move Forward

February 26, 2021 Blog

If you’ve been following the media coverage of investor claims related to UBS yield enhancement strategy (YES) losses, you may have read that UBS prevailed in a couple of FINRA arbitration proceedings late last year. While this is the case, scores of claims against UBS and its brokers are continuing to move forward, and far more claims have been successful than have been denied.

Do You Have a Claim for UBS YES Strategy Fraud?

To rewind, UBS came under fire a couple of years ago for aggressively promoting its yield enhancement strategy product to high-net-worth investors. The firm’s brokers touted the YES product as providing consistent returns in times of low market volatility. It worked (or was supposed to work) by utilizing a structure known as an “iron condor.” Essentially, UBS encouraged its investors to purchase options with strike prices on either side of a limited range of market volatility; and, as long as the market stayed within this range, investors could collect premiums their options expired.

But, there were problems. The first problem was that the market became volatile—more volatile than UBS anticipated. As a result, UBS YES investors began experiencing substantial losses. Since the iron condor strategy involved buying options and letting them expire, investors were left with essentially no hope of recouping their investments.

The second problem was that UBS did not tell its investors what was going on. This is where the majority of UBS YES investors’ claims lie. Despite identifying the increased market volatility, and despite being well aware that this presented significant risks for investors, UBS’s brokers continued to push the YES product—because it generated fees regardless of whether or not it generated investor returns.

Investors are Seeking to Recoup Their Losses in 2021

Fast forward to 2021, and many UBS YES investors are now saddled with millions of dollars in losses. Fortunately, since the statute of limitations for filing an arbitration claim with FINRA is six years, most UBS YES investors still have time to file. As we mentioned above, many claims against UBS are succeeding, and our firm is actively representing numerous clients in FINRA arbitration against UBS.

If you have lost money with UBS, we encourage you to speak with one of our attorneys about filing a UBS yield enhancement strategy claim. We can use the insights gained from our resolved and pending cases to evaluate your legal rights and pursue a financial recovery on your behalf. As more of these cases go to arbitration hearings, you might occasionally see news of additional setbacks along the way. But, based on the information we have obtained, many investors are clearly entitled to compensation, and we remain steadfastly committed to helping our clients recover.

Discuss Your Potential Lawsuit with the Securities Fraud Attorneys at UBS

Are you entitled to recover your UBS yield enhancement strategy losses? To find out, schedule a complimentary case assessment at Zamansky LLC. To speak with one of our senior investment fraud lawyers in confidence, please call 212-742-1414 or tell us how we can reach you online today.

Client Reviews

“Jake Zamasky and his colleagues represented me in a FINRA arbitration case against a large multinational bank and succeeded in obtaining an award for the full amount of my investment losses. I would highly recommend the Zamansky firm for their experience in securities litigation, their level of detailed research and case preparation, and their ability to effectively fight for what’s right.”

Richard R.

“Throughout my entire case, Jake Zamansky was incredibly responsive and spent time walking me through each step of the process. He is professional and worked with my challenging schedule, even meeting with me nights and on weekends. He knew exactly which turn to take when it came to my case and yet was respectful of any decisions I wanted to make resulting in a positive outcome.”

Donald A.

“Jake Zamansky and his firm represented me in a FINRA arbitration case to recover investment losses. Jake and his team were very professional and worked very hard preparing for trial and then reaching a substantial settlement of our case. I would highly recommend them.”

William E.

“Jake Zamansky represented me in a FINRA arbitration case which allowed me to recover a substantial portion of investment losses. He is truly an expert in this space and I would highly recommend him to those investors who may have been been a victim of investment fraud.”

Chris K.

“Jake and his team did a great job communicating with me throughout the process of my lawsuit. I would recommend him to anyone looking to sue UBS for unethical practices.”

Mike A.
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