Jose Rodriguez is Facing Allegations Regarding Overconcentration in Puerto Rico Bonds

Jose Rodriguez (CRD #: 2085294), a previously registered broker with UBS Financial, is the subject of an investor dispute. This disclosure appears on his BrokerCheck record, accessed on February 22, 20224. Keep reading if you have questions regarding his alleged conduct. 

Investor Allegations

On December 1, 2023, investors alleged that Jose Rodriguez recommended that they invest in and hold Puerto Rico closed-end funds. They alleged that this investment was unsuitable and that he over-concentrated their portfolio in these investments. They further alleged that he misrepresented the risks of investing in and concentrating in PR investments. Puerto Rico’s recent bankruptcy highlights the risks associated with these types of investments. 

FINRA Rule 2111 – Unsuitable Overconcentration 

FINRA Rule 2111 prohibits unsuitable investment recommendations. Overoncenrated investments are often unsuitable because they expose the investor to unnecessary risk. Brokers are required to consider their investor’s risk tolerance when they make recommendations. 

Diversified portfolios expose investors to a broader swath of the market and lessen the chance that an investor will suffer major losses following a drop in share prices for a particular stock or sector. A portfolio’s lack of diversification could be grounds for FINRA arbitration. 

Background Information 

Jose Rodriguez has passed the following exams: 

• Series 63 Uniform Securities Agent State Law Examination 
• Series 79TO Investment Banking Registered Representative Examination 
• SIE – Securities Industry Essentials Examination 
• Series 7 General Securities Representative Examination 
• Series 10 General Securities Sales Supervisor – General Module Examination 
• Series 53 Municipal Securities Principal Examination 
• Series 24 General Securities Principal Examination 

He has registered with the following firms: UBS Financial Services (CRD #: 8174) and UBS Financial Services Incorporated of Puerto Rico (CRD #: 13042). 

Kurta Law Can Help 

If you have worked with Jose Rodriguez and have concerns about your investments, do not hesitate to contact us at 877-600-0098 or info@kurtalawfirm.com for a free consultation. 

For nearly 20 years, Kurta Law has advocated for investors to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf. Do not let securities fraud go unchecked. Start your recovery process today.