-
You must submit the settlement Proof form attached below, in order to participate in this settlement. There is a strict deadline of October 10, 2018 by which all claims must be submitted. The instructions for submitting are included in the Proof and the Notice files attached below for your download. DO NOT SEND THE FORMS TO THE SHAREHOLDERS FOUNDATION, INC.
-
To have your information reviewed for options and to receive notifications about this case, please send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Lawsuit Overview
Settlement Overview
You must register to view and download the Settlement Notice and Settlement Proof.
June 28, 2018 - The court preliminarily approved the settlement.
May 18, 2018 - A stipulation of settlement was filed by the parties.
July 1, 2016 - The court granted in part and denied in part defendants' motion to dismiss.
August 21, 2015 - An amended consolidated was filed.
February 20, 2015 - An investor in shares of Virtus Investment Partners Inc (NASDAQ: VRTS) filed a lawsuit in the U.S. District Court for the Southern District of New York over alleged violations of Federal Securities Laws by Virtus Investment Partners Inc in connection with certain allegedly false and misleading statements made between May 28, 2013 and December 22, 2014.
According to the complaint the plaintiff alleges on behalf of purchasers of Virtus Investment Partners Inc (NASDAQ: VRTS) common shares between May 28, 2013 and December 22, 2014, that the defendants violated Federal Securities Laws.
More specifically, the plaintiff claims that that since at least May 28, 2013, Virtus Investment Partners knew that its sales and marketing of the AlphaSector’s past track record was based on false and misleading statements about its success against the S&P 500 index and that Virtus Investment Partners’ sales of its AlphaSector funds drove its increases in revenues and income, and caused substantial artificial appreciation in its stock price.
Virtus Investment Partners Inc is a provider of investment management products and services to individuals and institutions. According to an analyst F-Squared Investments Inc sub-advises on the Virtus Investment Partners mutual funds Premium AlphaSector (VAPAX), Allocator Premium AlphaSector (VAAAX), AlphaSector Rotation (PWBAX), Global Premium AlphaSector (VGPAX), Dynamic AlphaSector (EMNAX), that represent about $13 billion, or one-fifth, of Virtus Investment Partners Inc’s $61 billion in assets under management. According to a media report from early September 2014 F-Squared Investments Inc received a Wells notice from the Securities and Exchange Commission (“SEC”) reportedly indicating the SEC is considering bringing a civil case against F-Squared Investments Inc. in late 2013, F-Squared Investments Inc reportedly told clients it was being investigated by the SEC, and earlier in 2014 F-Squared Investments Inc reportdelty said the regulator's investigation found certain F-Squared Investments Inc’s historical returns overstated performance.
The plaintiff says that subsequently, on December 22, 2014, the SEC announced its settlement of an administrative proceeding against F-Squared for a penalty of $35 million, revealing further details about the fraud. The plaintiff alleges that that Virtus Investment Partners Inc concealed its knowledge and role in F-Squared’s fraud from its investors, and knew that its stock price was artificially inflated.
Virtus Investment Partners Inc (NASDAQ: VRTS) declined from $224.50 per share in early September 2014 to as low as $128.17 per share on January 30, 2015.
On February 20, 2015, NASDAQ: VRTS shares closed at $145.52 per share.