SAN JUAN, Puerto Rico, Feb. 14, 2014 (GLOBE NEWSWIRE) -- The Securities Arbitration Law Firm of Klayman & Toskes, P.A., www.sueubspuertorico.com, together with Carlo Law Offices, P.S.C. located in Puerto Rico, announced today that they filed a claim against UBS Financial Services of Puerto Rico and UBS Financial Services, Inc. (NYSE:UBS) (collectively "UBS"), on behalf of the estate of a Puerto Rico investor who passed away at the age of 95 in January of 2014. The claim, filed with FINRA's arbitration department, seeks to recover damages sustained in two UBS Puerto Rico Closed-End Bond Funds ("CEBFs"), Puerto Rico Investors Bond Fund I and Puerto Rico Investors Tax Free Fund II, as well as Puerto Rico Conservation Trust Notes.
According to the Claim, at the recommendation of UBS, the investor's account became over-concentrated with virtually all of the assets invested in the CEBFs. In selling these CEBFs to the investor, UBS represented that the Funds were safe, low risk products that would provide a steady stream of income. Prior to investing in these CEBFs, UBS recommended that the investor invest in the Puerto Rico Conservation Trust Notes, which was also represented to be a safe, low risk product. The investor, who was seeking low risk income producing investments in his retirement years, had no idea that his account was concentrated and exposed to a high degree of risk. Contrary to UBS' representations concerning the safety of these products, the CEBFs declined about 60% in value, and the Puerto Rico Conservation Trust Notes defaulted and is now worthless.
The sole purpose of this release is to investigate, on behalf of our clients, the sales practices of UBS in connection with the sale of CEBFs and Puerto Rico Conservation Trust Notes to their customers. Current and former customers of UBS, or other full-service brokerage firms in Puerto Rico, who purchased CEBFs or Puerto Rico Conservation Trust Notes, and have information relating to the manner in which the firm represented these products, are encouraged to contact Steven D. Toskes, Esquire of Klayman & Toskes, or Osvaldo Carlo, Esquire of Carlo Law Offices, at (787) 919-7325, or visit us on the web at www.sueubspuertorico.com.
