Michael Hadden, a former broker with UBS Wealth Management (UBS), has made claims that UBS allegedly made it “impossible” for his to continue working due to “… its various unethical practices with respect to customers …” as stated in his original arbitration claim with the Financial Industry Regulatory Authority (FINRA).
Mr. Hadden has asked a federal court, the U.S. District Court for the Western District of Kentucky, to overturn FINRAs arbitration award which ordered him to repay over $300,000 in bonus money, attorneys’ fees and interest. According to Mr. Hadden’s court filings, UBS would allegedly mislabel conservative investors as moderate in order to avoid future restitution and penalties. As Mr. Hadden noted in his court documents, “… the risk reporting system is done … to protect UBS from future claims of lack of suitability from the client or FINRA.”
In every broker/investor relationship, the broker has a duty to assess what the investors’ goals are as well as their risk tolerance. This assessment is based on a number of key factors, including the investors’ stated objectives, risk tolerance, financial condition and tax status. It is the broker’s responsibility to only pursue and recommend investments that are suitable for that investor based on these factors.
Have you suffered losses in an unsuitable UBS investment? Did your UBS broker recommend an investment that was not in line with your conservative investment goals? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Attorney Pearce is currently representing numerous clients with claims against UBS Puerto Rico for misrepresentations and/or unsuitable recommendations of its closed end bond funds to conservative investors.
For dedicated representation by a law firm with over 35 years of experience in all kinds of securities, commodities and investment disputes, contact us by telephone at 561-338-0037 or toll free at 800-732-2889, via e-mail or visit our website at www.secatty.com We may also be able to arrange a meeting with you at offices located in San Juan, Puerto Rico or in Boca Raton, Fort Lauderdale, Miami and West Palm Beach, Florida and elsewhere.