It is reckless and unsuitable for any brokerage firm to permit a UPS employee to leverage themselves against both their past stock compensation and source of future income, according to Zamansky.
New York, NY (PRWEB) February 25, 2013
Zamansky & Associates LLC announces that it is investigating losses suffered by United Parcel Service employees from holding concentrated stock positions on margin at full service brokerage firms. The investigation concerns whether UPS employees, particularly before 2009, were advised by their financial advisors to borrow against company stock they received as compensation either on margin or through hypothecation loans that were suitable and appropriate for UPS employees. "Brokerage firms making such loans have obligations to provide customers with suitable advice and to recommend diversification or hedging," according to Jake Zamansky. There are many widely available strategies that can be used to minimize downside risk from a single stock position, he states.
"It is reckless and unsuitable for any brokerage firm to permit a UPS employee to leverage themselves against both their past stock compensation and source of future income", according to Zamansky. He believes that UPS employees who held such loans, and sold UPS stock to cover margin or collateral calls, may have recoverable losses or damages.
What UPS Employees Can Do
If you would like to have your brokerage accounts or lending relationship reviewed or discuss your legal rights, you may, without obligation or cost to you, email jake (at) zamansky (dot) com or call the law firm at (212) 742-1414.
About Zamansky & Associates LLC
Zamansky & Associates LLC is one of the leading law firms specializing in securities fraud and financial services arbitration and class action litigation. We represent both individual and institutional investors. Our practice is nationally recognized for our ability to aggressively prosecute cases and recover losses.
To learn more about Zamansky, please visit our website, http://www.zamansky.com.
Zamansky & Associates, LLC
50 Broadway - 32nd Floor
New York, NY 10004
Jake Zamansky, 212-742-1414
jake (at) zamansky (dot) com