David Demarest: UBS Advisor Faces $15mm Complaint

Lexington, Kentucky financial advisor David Demarest (CRD# 4843128) recently received an investor complaint alleging that his advice resulted in eight-figure damages. Financial Industry Regulatory Authority records show that he is registered as a broker and an investment advisor with UBS Financial Services.

Mr. Demarest’s BrokerCheck report discloses one investor complaint. Filed in August 2026, it alleges that as a representative of UBS Financial Services, he “recommended overly risky long-term US Treasuries and [an] options overlay strategy.” The pending complaint alleges damages of $15 million.

For reference, FINRA’s suitability standard stipulates that brokers like Mr. Demarest must “have a reasonable basis to believe” that their investment recommendations are appropriate—or, indeed, suitable—for a customer’s background and needs. As FINRA Rule 2111 states more specifically, the standard requires representatives to determine an investment’s suitability through “reasonable diligence” into the customer’s investment profile. This includes their investment experience, goals, age, income, net worth, risk tolerance, and other factors. Brokers must have a reasonable basis to believe the recommendation is appropriate for some investors; they must also have a reasonable basis to believe it is appropriate for the specific investor to whom they are making it. In cases involving a series of transactions in an account for which the broker holds actual or de facto control, the broker must have a reasonable basis to believe that the series of trades, “even if suitable when viewed in isolation, is not excessive and unsuitable for the customer.” Brokers who violate FINRA Rule 2111 may be held liable for damages.

According to the Financial Industry Regulatory Authority, David Demarest holds 21 years of securities industry experience. Based in Lexington, Kentucky, he has been registered as a broker and an investment advisor with UBS Financial Services since 2013. His past registrations include JP Morgan Securities and Merrill Lynch. His credentials include the passage of three securities industry qualifying exams: the Securities Industry Essentials Examination, or SIE; the General Securities Representative Examination, or Series 7; and the Uniform Combined State Law Examination, or Series 66. He holds 26 state licenses. (Information current as of September 12, 2026.)

Carlson Law represents investors throughout the United States in claims against financial advisors and investment firms. If you or a loved one have suffered investment losses, please call us at 888-976-6111 or complete our contact form for a free and confidential consultation.