If you were a client of Edward Jones in the 90’s you may be eligible to receive a payment from a $75 million arbitration settlement fund. In the mid 90’s, Edward Jones was accused of taking payments from seven mutual fund “families” in exchange for recommending the mutual funds to investors.
These funds were known as “Preferred Families”, and included American Funds, Goldman Sachs Funds, Hartford, Lord Abbett, Federated Investments, Putnam Funds, and Van Kampen Investments. Edward Jones stood to gain tens of millions of dollars in additional revenues annually by recommending funds in these “families”. Investors were not made aware of the company’s added financial incentive for suggesting these funds. The SEC issued an order in 2004 stating that Edward Jones violated several federal securities laws and committed fraud.
To speak to an Edward Jones attorney for more information on this settlement, or if you feel you may have a stake in these funds, you may contact our law offices.