Zamansky LLC Investigates the UBS ETRACS 2x Monthly Leveraged S&P MLP Index (MLPV) and Alerian MLP Index (MLPL) ETNs For Possible Sales Practice Violations

NEW YORK--()--Zamansky LLC announces that it is investigating the UBS ETRACS 2x Monthly Leveraged S&P MLP Index (NYSE Arca: MLPV) and Alerian MLP Index ETNs (NYSE Arca: MLPL) for possible sales practice violations. These exchange-traded notes were sold and marketed by UBS Financial Services Inc. (NYSE: UBS) as providing investors with returns of two-times (2x) the performance of the S&P MLP Index and Alerian MLP Index, respectively. These indexes are two of the largest indexes of oil and gas energy partnerships.

“Our investigation concerns whether investors who were sold these ETNs by their UBS financial advisors were sufficiently informed of the risks”

On January 20, 2016 UBS announced that it was mandatorily redeeming the ETRACS 2x Monthly Leveraged S&P MLP Index ETN (MLPV) because the index had fallen to $5 and below. As a result of this redemption, most investors will suffer steep losses from this investment which fell from a high of $27 per share.

UBS also announced that it was redeeming the ETRACS 2x Monthly Leveraged Alerian MLP Index ETN (MLPL) after it had previously suspended new sales in December 2015. This ETN has fallen to $8.36 from a high of $56.25.

According to Jake Zamansky, securities fraud attorney, these investments were extremely risky and speculative because they make leveraged bets on the volatile oil and energy sector. “Our investigation concerns whether investors who were sold these ETNs by their UBS financial advisors were sufficiently informed of the risks,” Zamansky states. In his view, “UBS should not have sold these notes to retiree or other conservative investor who needed to protect their principal or wanted to simply earn income should have invested in these UBS ETRACS MLP or other commodities-linked notes,” he states. He is examining sales of these UBS ETRACS notes for FINRA Rule sales practice violations.

We are also examining these other commodities ETNS issued by UBS:

UBS ETRACS Alerian MLP Index ETN (NYSE Arca: AMU)
UBS ETRACS Alerian MLP Infrastructure Index ETN (NYSE Arca: MLPI)
UBS ETRACS CMCI Energy Total Return ETN (NYSE Arca: UBN)
UBS ETRACS CMCI Total Return ETN (NYSE Arca: UCI)
UBS ETRACS Bloomberg Commodity Index Total Return (NYSE Arca: DJCI)

What MLPV and MLPL Investors Can Do

If you are an investor in these UBS ETRACS MLP ETNs, and wish to have your investment reviewed or to discuss your legal rights, you may, without obligation or cost to you, email jake@zamansky.com or call the law firm at (212) 742-1414.

About Zamansky LLC

Zamansky LLC is a leading investment fraud law firm specializing in securities, hedge fund and ERISA class action litigation, and FINRA securities arbitration. We are investment fraud attorneys who represent both individual and institutional investors. Our practice is nationally recognized for our ability to aggressively prosecute cases and recover investment losses.

To learn more about Zamansky LLC, please visit our website, http://www.zamansky.com.

Contacts

Zamansky LLC
Jake Zamansky, 212-742-1414
jake@zamansky.com

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Release Summary

Zamansky LLC, securities law firm, investigates the UBS ETRACS 2x monthly leveraged S&P MLP Index (MLPV) and Alerian MLP Index (MLPL) ETNs for possible sales practice Violations

Zamansky LLC