SEC Charges UBS With Improper Securities Valuation

Strapline: Regulation & Standards

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UBS Global Asset Management (UBSGAM) has been penalized by the Securities and Exchange Commission (SEC) for failing to properly price securities in three mutual funds that it managed, resulting in a misstatement to investors of the net asset values (NAVs) of those funds.

An SEC investigation found that during a two-week period in 2008, UBSGAM, which is an SEC-registered investment adviser, did not follow the mutual funds’ fair valuation procedures in pricing certain illiquid fixed-income securi