Roberto Pineda Castellvi Allegedly Recommended Unsuitable Puerto Rico Closed-End Funds

Roberto Pineda Castellvi (CRD #: 4971653), a broker registered with Stonecrest Capital Markets, is the subject of an investor dispute. This is according to his BrokerCheck record, accessed on June 21, 2024. Investors should know that this was the 29th disclosure on his record. 

Investor Allegations 

On April 24, 2024, an investor alleged that Roberto Pineda Castellvi recommended that he invest in and hold Puerto Rico closed-end funds that were unsuitable and that his UBS account was overconcentrated in those investments. The client alleges that he misrepresented the risks of investing in and concentrating in Puerto Rico investments. 

Previous Investor Disputes

There are six disputes from 2019 alone alleging unsuitable Puerto Rico closed-end funds. These disputes were collectively settled for $906,916.66. 

Puerto Rico Closed-End Funds

Major credit agencies downgraded bonds issued by Puerto Rico in 2014. This marked the beginning of a serious, nationwide debt crisis. UBS advisors allegedly continued to recommend Puerto Rico closed-end funds even after it became clear that these funds may not be in their customers’ best interests. 

FINRA Rule 2111 – Unsuitable Investments 

FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile. Investor profiles have information on the investor’s age, risk tolerance, tax status, investing experience, and financial goals. Investments that do not take these factors into account may be unsuitable. This rule also prohibits overconcentration, as placing too much of a portfolio in a single sector exposes the investor to unnecessary risk. 

FINRA Rule 2020 – Misrepresentation

FINRA Rule 2020 prohibits the misrepresentation of investments and omission of material facts. Material facts include information about an investment’s potential returns, as well as charges, expenses, and fees.

Background Information 

Roberto Pineda Castellvi has passed the following exams: 

• Series 65 Uniform Investment Adviser Law Examination 
• Series 63 Uniform Securities Agent State Law Examination 
• SIE – Securities Industry Essentials Examination 
• Series 7 General Securities Representative Examination 

He is a registered broker in five states and is a registered broker and investment adviser in Puerto Rico. 

During his 18 years of experience, Roberto Pineda Castellvi has registered with the following firms: 

• Stonecrest Capital Markets (CRD #: 39616) 
• Stonecrest Advisors (CRD #: 142095) 
• Herbert J. Sims Capital Management (CRD #: 134510) 
• Herbert J. Sims & Co. Inc. (CRD #: 3420) 
• UBS Financial Services (CRD #: 8174) 
• UBS Financial Services Incorporated of Puerto Rico (CRD #: 13042) 
• Oriental Financial Services (CRD #: 29753) 

Kurta Law Can Help 

If you have worked with Roberto Pineda Castellvi and have concerns about your investments, do not hesitate to contact us at 877-600-0098 or email 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.