UBS Draws Investigation From Dimond Kaplan Rothstein for Its V10 Product
- UBS finds itself facing a fresh set of legal hurdles, prompting an investigation into its FX products.

UBS has once again found itself in the regulatory crosshairs, this time drawing an investigation by securities arbitration law firm, Dimond Kaplan & Rothstein, P.A. (DKR), according to a DKR statement.
The investigation centers on the recommendations and sales of currency and FX products at UBS, including its V10 Enhanced FX Carry Strategy. In particular, both individual and institutional investors, including hedge funds and pension funds, used the UBS V10 product. The high-yielding FX investment utilized advanced computer algorithms to minimize the risk of losses in periods of Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term.
Unfortunately, the aforementioned product has not performed as stipulated, with investors losing a significant amount of money. Consequently, DKR is investigating whether UBS misled investors in the marketing and selling of the complex V10 product.
Moreover, the US Justice Department is also investigating whether UBS misrepresented how currency transactions were priced within UBS’s V10 product offering. This scrutiny is another layer of the regulator's broad-based investigation into manipulation in the foreign Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term market.
The announcement comes after several months of tranquility for UBS, which found itself subjected to intense scrutiny by regulators for its role in a lingering FX probe that convulsed the $5.3 trillion a day industry last year.
DKR has represented investors in claims against UBS involving complex FX carry trade strategies. The law firm is inviting those who lost money in the V10 product or other FX-related instruments at UBS to contact its office.
Last May, UBS settled in its on-going currency fixing manipulation, culminating in a settlement of $135 million and for assistance in future investigations with Hausfeld, an international claimants’ law firm.
UBS has once again found itself in the regulatory crosshairs, this time drawing an investigation by securities arbitration law firm, Dimond Kaplan & Rothstein, P.A. (DKR), according to a DKR statement.
The investigation centers on the recommendations and sales of currency and FX products at UBS, including its V10 Enhanced FX Carry Strategy. In particular, both individual and institutional investors, including hedge funds and pension funds, used the UBS V10 product. The high-yielding FX investment utilized advanced computer algorithms to minimize the risk of losses in periods of Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term.
Unfortunately, the aforementioned product has not performed as stipulated, with investors losing a significant amount of money. Consequently, DKR is investigating whether UBS misled investors in the marketing and selling of the complex V10 product.
Moreover, the US Justice Department is also investigating whether UBS misrepresented how currency transactions were priced within UBS’s V10 product offering. This scrutiny is another layer of the regulator's broad-based investigation into manipulation in the foreign Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term market.
The announcement comes after several months of tranquility for UBS, which found itself subjected to intense scrutiny by regulators for its role in a lingering FX probe that convulsed the $5.3 trillion a day industry last year.
DKR has represented investors in claims against UBS involving complex FX carry trade strategies. The law firm is inviting those who lost money in the V10 product or other FX-related instruments at UBS to contact its office.
Last May, UBS settled in its on-going currency fixing manipulation, culminating in a settlement of $135 million and for assistance in future investigations with Hausfeld, an international claimants’ law firm.