The Capital ESOP Group UBS Financial Services – AVOID

Avoid the Capital ESOP Group UBS at all costs; they are a risky private wealth management organization. Their current disclosures, together with their checkered history, suggest that top executives earn money at the expense of customers.

You should read the murky parts of their disclosures before entrusting them with your company and your family’s financial destiny. In this way, you can rest assured that you made the best possible choice. To that end, our analysis of UBS’s Capital ESOP Group should prove useful.

UBS Group, a Capital ESOP Company

Washington, DC-based financial consulting business UBS Capital ESOP Group. You can reach them at 202-585-5358 or visit them at 1501 K St NW Suite 1100 in Washington, DC, USA.

Keith Apton, Nick Francia, and Robert Allred are the company’s three managing directors. In addition to his CEPA certification, Robert Allred also holds CPWA and CFP credentials.

This organization’s primary mission is to facilitate successful business exits for entrepreneurs and other business owners. Their main service is consulting to help clients figure out how to best monetize their privately owned firms and whether or not to switch to an ESOP structure.
Personal portfolio management, charitable giving, trust, and estate services are also available through the company.

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At first glance, this company presents itself as a sincere and caring group of professionals. However, it exploits its customers in a variety of immoral ways. You, as an investor, have a right to this information for the sake of making a more educated choice. You can find my emphasis in the following review part.

UBS ESOP Capital Group Existing Problems

Some examples of the Capital ESOP Group UBS’s various issues are provided below.

$100,000 Keith Upton’s Controversy

You should check out a wealth manager’s history on FINRA’s BrokerCheck before signing up with them. The information in this database is invaluable for making such a big choice concerning an advisor. You can research the advisor’s state registration, certifications, employers, and complaints.
The FINRA BrokerCheck report for Keith Apton only lists one customer dispute. In 2010, a customer filed a complaint saying he had no idea he was investing in Auction-Rate Securities. The buyer genuinely believed he was investing in municipal bonds. They resolved the case for the full amount of damages they sought, which was $100,000.

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In response, Keith stated that the company had settled to avoid litigation and by FINRA Regulatory Notice 09-12.

In any event, a dispute worth $100,000 is serious business. It demonstrates that Keith Apton has a pattern of putting his financial interests ahead of those of his clients. As you learn more about his dubious policies, you’ll see that he can easily disregard your best interests, which is a major negative of working with him.

Paying for Results Instead of Time Spent

The Capital ESOP Group at UBS offers products with performance-based fees, which is one of the main difficulties of working with them.

Advisors who charge performance-based fees profit when their clients’ portfolios outperform a predetermined index or benchmark. Because of this, they are forced to adopt high-risk techniques, which can be disastrous for substantial holdings.

Research shows that advisors who use this fee structure are more likely to increase their risk exposure, leading to subpar results for their customers.

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Avoid this charge structure at all costs; it has a terrible reputation in the financial sector.

Your advisor will be incentivized by this compensation structure to use high-risk techniques whether or not they are appropriate for your portfolio. Such methods rarely pay off, as they usually end up producing undesirable outcomes (losses).

In addition, you cannot hold UBS liable for any losses you incur as a result of the Capital ESOP Group. When you sign on as a client, they are protected from legal action by the waivers you agree to.

Costing 12b-1 Dollars

Keith Apton and his company provide goods that incur 12b-1 costs in addition to the standard performance-based fees. This is the advisor’s marketing fee, and he or she will keep it.

The 12b-1 charge drives up the price of investments without accurately reflecting their worth. The SEC compared the performance of investments with and without this fee in a comprehensive analysis. The results were the same for both options.

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The research found that assets with this fee have a lower return on investment (ROI) than those without it.

The size of the portfolio is taken into account when determining the 12b-1 fee, which is a percentage. Therefore, it is especially damaging for those with sizable investment holdings.

Another major problem in dealing with Capital ESOP Group UBS is the 12b-1 charge, which increases over time. This means it is disastrous for growth-oriented portfolios.

Since the advisors benefit financially from this fee, they have a strong motive to push the investments that need it. Consequently, you should avoid working with experts who demand such a price.


While UBS Capital ESOP Group makes many grand claims about the quality of its services, most investors find working with them to be a misery. You should look elsewhere to manage your portfolio and future finances if you value your financial security.

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