Investors are not looking happy with their purchase of UBS yield enhancement strategies (YES) and condor iron investment options. UBS had promised investors to get secure and stable financial investment by their brokers but the outcome of the investors’ is not suiting the promises. The investors are facing huge losses and they are going to bring lawsuits against UBS. UBS is claiming that YES investment will produce a high return with little risk but the investors are not considering it in any way.
YES investment has planned to return through strategic sales and purchase of SPX index option spread. It is offering clients a way to generate additional cash flow to form their lower-yielding asset. Investors are not realizing how market volatility can destroy their investment because the YES option is not suitable for all investors.
Haselkorn & Thibaut, a law firm, that is famous for their investment fraud attorney, is handling and investigating loss recovery cases and representing investors. On the other hand, a former defense lawyer is representing UBS in the court. Mathew Thibaut and Jason Haselkorn are former licensed securities brokers and defense lawyers. Both have insider’s view of the complex legal and regulatory issues.
One of the UBS investors, Ms. Sherrie Pellini lost $750,000 from a three million investment. She was charged 1.75% investment fee which was very unusual or steep as compared to the typical 1% rate. She was promised by UBS with few words, “If the world ends tomorrow, you will be the only one with money left”.
