UBS fined over securities pricing

Swiss bank UBS has agreed to pay a $300,000 (SFr285,000) fine to settle charges of failing to price securities correctly in the United States.

This content was published on January 17, 2012 - 21:56 and agencies

The US Securities and Exchange Commission charged UBS’s Global Asset Management arm on Tuesday with failing to properly price securities in three mutual funds that it managed, resulting in a misstatement to investors of the net asset values of those funds.

The SEC determined that during a two-week period the UBS investment arm did not follow the mutual funds’ fair valuation procedures in pricing certain illiquid fixed-income securities.

Merri Jo Gillette, of the SEC’s Chicago regional office, said in a statement that UBS Global Asset Management “failed to fulfill one of its core delegated responsibilities on behalf of mutual funds it advises - to price securities in the mutual funds accurately”.

She added that “this misconduct was brought to light quickly, so the duration was short and the harm to investors minimal”.

UBS settled the charges without admitting or denying the SEC’s findings.

Articles in this story

In compliance with the JTI standards

In compliance with the JTI standards

More: SWI certified by the Journalism Trust Initiative

You can find an overview of ongoing debates with our journalists here. Please join us!

If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at

Sort by

Change your password

Do you really want to delete your profile?

Your subscription could not be saved. Please try again.
Almost finished... We need to confirm your email address. To complete the subscription process, please click the link in the email we just sent you.

Discover our weekly must-reads for free!

Sign up to get our top stories straight into your mailbox.

The SBC Privacy Policy provides additional information on how your data is processed.