Washington Mutual is accused of steering investors into their own mutual funds when better alternatives were available:
A class-action lawsuit was filed today against Washington Mutual, alleging that it deceived investors by steering them to the bank's own portfolio of mutual funds which were less attractive than alternative funds.
The complaint alleges that Washington Mutual and its subsidiary companies had an undisclosed "preferred list" of funds, and issued misleading disclosures and omissions regarding a side agreement designed to improperly promote WM Financial Services to favor Washington Mutual's proprietary funds, and thereby drive sales, regardless of alternatives for their individual retail investors."
Washington Mutual is accused of steering investors into their own mutual funds when better alternatives were available:
A class-action lawsuit was filed today against Washington Mutual, alleging that it deceived investors by steering them to the bank's own portfolio of mutual funds which were less attractive than alternative funds.
The complaint alleges that Washington Mutual and its subsidiary companies had an undisclosed "preferred list" of funds, and issued misleading disclosures and omissions regarding a side agreement designed to improperly promote WM Financial Services to favor Washington Mutual's proprietary funds, and thereby drive sales, regardless of alternatives for their individual retail investors."
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Who would have thought that some guy at the bank isn't looking out for your best interests?