Suit filed against OppenheimerFunds

JAN 09, 2009
OppenheimerFunds Inc. is facing what may be the first of many arbitration claims over losses in its Champion Income Fund. A claim filed Wednesday against Oppenheimer Investor Services Inc. of New York claims that two elderly investors, Ruth and Melvin Bruder of Lauderhill, Fla., lost $125,000 in the fund. Andrew Stoltmann, a plaintiff's attorney at The Stoltmann Law Offices PC in Chicago, who filed the case on behalf of Daniel Bruder, a trustee for his parents, said the case is the first one filed against Oppenheimer for losses stemming from a collapse in the price of the high-yielding bond fund. The suit claims the fund, which lost about 55% in November alone, was misrepresented to investors. It says the former portfolio manager, Angelo Manioudakis, who is also named in the suit, concentrated the fund in illiquid mortgage securities and credit default swaps. Mr. Stoltmann said he plans to file about 20 more cases against Oppenheimer. Jeaneen Pisarra, a spokeswoman for OppenheimerFunds, declined to comment.

Latest News

Advisor moves: Cresset enters Boca Raton with $4 billion UBS team addition
Advisor moves: Cresset enters Boca Raton with $4 billion UBS team addition

Meanwhile, an advisor tuck-in from Edward Jones expands Kestra's Washington, D.C.-area presence, and Janney deepens its Connecticut footprint with an experienced Wells Fargo advisor.

Kovack Financial Network launches private succession platform for advisors
Kovack Financial Network launches private succession platform for advisors

KFN Succession Center pairs advisors weighing retirement with buyers, as next-gen affordability keeps eroding industry-wide.

Regulation lags rising private credit risks as retail access widens
Regulation lags rising private credit risks as retail access widens

New CFA Institute research calls for tougher valuation rules and suitability standards as private credit funds court wealth management clients.

LPL Financial, Raymond James land advisors managing $470M
LPL Financial, Raymond James land advisors managing $470M

Michigan father-son team with nearly 50 years of combined experience joins LPL, while a New Jersey advisor moves from Ameriprise to RJFS.

Wealth transfer timing: why waiting is the costliest mistake families make
Wealth transfer timing: why waiting is the costliest mistake families make

UBS expert Sarah Salomon says stewardship is built over time, not handed over in a will.

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income