UBS Clients Face Losses Amid RTPF Product Controversy

UBS clients reportedly face significant losses from Range Target Profit Forward (RTPF) products. These structured currency derivatives involve high risk, with payments dependent on exchange rates staying within a predefined range. When this range is surpassed, investors are exposed to vast losses, frequently exceeding original investments.

RTPF products, criticized for their complexity, offer limited returns but potentially limitless losses. UBS marketed these as conservative or high-yield options. However, many investors, especially those with moderate portfolio sizes, experienced substantial financial setbacks.

Reports suggest aggressive marketing and inadequate risk disclosure from UBS advisors. The Swiss Financial Market Supervisory Authority (FINMA) is monitoring the situation, while the Swiss Association for the Protection of Investors (SASV) supports affected investors in potential legal actions.