SEC Tags State Street for More than $300 Million for Misleading Investors About Sub-Prime Investments

According to the U.S. Securities and Exchange Commission (“SEC”), Massachusetts-based State Street Bank and Trust Company (“State Street”) misled investors about the extent of subprime mortgage-backed securities in funds managed by State Street.  Conservative investors who thought they were investing in money market equivalent funds wound up owning funds full of extremely risky subprime mortgages.  According [...]

According to the U.S. Securities and Exchange Commission (“SEC”), Massachusetts-based State Street Bank and Trust Company (“State Street”) misled investors about the extent of subprime mortgage-backed securities in funds managed by State Street.  Conservative investors who thought they were investing in money market equivalent funds wound up owning funds full of extremely risky subprime mortgages.  According to the SEC, investors lost more than $300 million through investment in those funds.  Specifically:

(more…)

 
professional wordpress themes