投资者律师博客Schwab YieldPlus Fund Investors File Securities Class Action Lawsuit Alleging Marketing Misrepresentation in Funds’ Offering Documents
A class action law suit has been filed on behalf of those who bought Schwab YieldPlus Investor Funds Investor Shares and Schwab YieldPlus Funds Select Shares against the Schwab Corporation, the underwriter and investment adviser connected to the funds, and several Schwab officers and directors. However, many smart investors are instead seeking greater recovery by filing their own cases.
投资者在集体诉讼中的原告声称被告在提供有关资金缺乏多元化以及资金接触次级支持证券的程度的虚假陈述时误导了他们。bob200体育原告说，这笔销售作为货币市场基金的安全替代品，实际上是其一半以上用于抵押行业投资的基金资产。
The funds are down significantly. Through March 26, The Schwab YieldPlus Investor Fund (SWYPX) has fallen 17% , while the Schwab California Tax-Free YieldPlus Fund (SWYCX) has dropped by 9% . Investors say that the defendants were in violation of Section 11 of the Securities Act of 1933 when they misrepresented the funds to investors, marketing them with the goal of looking for high current income coupled with minimum share price changes.
Anxious investors left the Schwab YieldPlus Investor Fund when it dropped by about 3.6% in 2007. Fund assets reportedly fell from $13.5 billion in June 2007 to $2.5 billion last month. Fund managers must now sell bonds at depressed rates.
The Schwab California Tax-Free YieldPlus Fund (SWYCX)’s assets are down from $1.1 billion in mid-2007 to under $600 million this March. The source of the significant drop is attributed to its investments in variable-rate bonds connected to the London Interbank Offering Rate (LIBOR) index, which has fallen as liquidity has disappeared.
While the class action suit may result in some recovery for victims, many investors are aware that such cases often result in recovery of only “pennies on the dollar” for investors. Thus, those with any significant loss may obtain a far better result by filing their own claims in securities arbitration.
Theinvestor fraud律师事务所Shepherd Smith and Edwards代表损失资金的投资者客户，因为证券行业中的那些人从事虚假陈述，遗漏，不合适的，过度浓度，搅动，未能监督，未能执行交易，违反承诺/合同，违反信bob200体育托义务，疏忽，疏忽，保证金帐户，保证金帐户滥用，违反注册或未经授权的交易。接触Shepherd Smith and Edwardsfor your free consultation to discuss your case.
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