Investigation into Puerto Rico bond funds and other misconduct by UBS

The Furgison Law Group securities fraud attorneys are currently investigating claims against major Puerto Rico brokerage firms including UBS Puerto Rico, Popular Securities, Inc., and Santander Securities, Corp., concerning misleading sales practices of their proprietary fixed income funds. Customers have come forward claiming that their advisers falsely promoted Puerto Rico bond funds as investments designed for capital preservation, stability and providing current income. Investors have also claimed that their advisers recommended placing the majority of their assets, sometimes on margin or credit, into the Puerto Rico bond funds placing their entire retirement savings at risk.

UBS Puerto Rico bond funds include:

  • Tax-Free Puerto Rico Fund I-II,
  • Tax-Free Puerto Rico Target Maturity Fund,
  • Puerto Rico AAA Portfolio Target Maturity Fund,
  • Puerto Rico AAA Portfolio Bond Fund I-II,
  • Puerto Rico GNMA & U.S. Government Target Maturity Fund,
  • Puerto Rico Mortgage-Backed & U.S. Government Securities Fund,
  • Puerto Rico Fixed Income Fund I-VI,
  • Puerto Rico Investors Tax-Free Fund I-VI,
  • Puerto Rico Tax-Free Target Maturity Fund I-II,
  • Puerto Rico Investors Bond Fund.

Popular Securities bond funds include:

  • Puerto Rico Investors Tax-Free Funds,
  • Puerto Rico Tax Free Target Maturity Fund,
  • Puerto Rico Investors Flexible Allocation Fund – Income Portfolio,
  • Popular Income Plus Fund,
  • Popular High Grade Fixed-Income Fund.

Santander Securities funds include:

  • First Puerto Rico Tax-Exempt Fund I-VII,
  • First Puerto Rico Tax-Advantaged Target Maturity Fund I-II,
  • First Puerto Rico AAA Target Maturity Fund I-II,
  • First Puerto Rico Target Maturity Income Opportunities Fund I-II,
  • First Puerto Rico AAA Fixed-Income Fund,
  • First Puerto Rico Intermediate Fixed-Income Fund.

Investors Have the Right to Recover Their Losses

Because these Puerto Rico bond funds were sold by brokerage firms licensed by FINRA, they are subject to the laws that FINRA enforces. The brokerage firms are responsible for ensuring that their brokers are trading fairly, ethically and in the best interest of their clients. Ideally, they would accomplish this through careful supervision. Unfortunately, too often this supervision has been inadequate to fully protect investors. If you purchased any Puerto Rico bond funds through a representative of a registered brokerage firm and suffered loses through negligence or fraud, it immediately puts the brokerage firm at fault for failing to supervise their broker. FINRA law then dictates that you can hold the firm legally liable and recover your damages.

How FLG can help

Our law firm represents institutional and individual investors nationwide who have lost a substantial portion of their retirement savings or other assets. We represent securities investors in their disputes with their investment advisers or brokerage firms, related to losses caused by investments in all of the Puerto Rico bond funds. Our securities arbitration attorneys have successfully represented hundreds of investors in broker dispute cases against large and small investment firms. We also have extensive experience working on the opposite side, defending the brokerage firms and financial advisers. We now use our knowledge of how the other side operates to get the best possible results for our clients.

Each lawyer and staff member of our firm is devoted to assisting investors to recover losses caused by fraud, misrepresentation, omissions of material facts, breach of fiduciary duty, conflicts of interest, self-dealing, unauthorized trades, selling away, unsuitability, over-concentration,  or other wrongful acts, whether intentional or negligent. Whether in state or federal court, or in arbitration proceedings in FINRA or the American Arbitration Association ("AAA"), Furgison Law Group helps investors recover their investment losses.

Don't let the brokerage firms get away with loosing your hard earned money. Contact us today for a Free Case Evaluation. We will tell you if you have a case worth pursuing.

Additional Resources:

Financial Industry Regulatory Authority

Financial Industry Regulatory Authority

 Securities and Exchange Commission

 Securities and Exchange Commission

Click the link above to check the background of your financial adviser, brokerage firm or any other investment professional

Click above for News and Investor Alerts and sanction in the securities industry

Click above to check for SEC filings