Investment Adviser Fails to Shake SEC Suit Over Fund (Correct)

A New Jersey investment adviser must face SEC claims that he improperly concentrated mutual fund holdings in a single industry, a federal court ruled.

The Securities and Exchange Commission adequately alleged that David Yow Shang Chiueh and his advisory firm, Upright Financial Corp., over-invested an Upright mutual fund in the semiconductor industry in conflict with the fund’s policy and a previous consent agreement, Judge Brian R. Martinotti said for the US District Court for the District of New Jersey.

The commission’s suit focuses on the Upright Growth Fund, one of three funds run by Upright Investments Trust, a client of ...