Mutual Fund Litigation: A Fair Value Pricing Lawsuit

Boston.com is reporting: “Funds Sued for Not Using ‘Fair Value’.” According to the article, the 20-odd complaints filed by the Illinois firm, Korein Tillery, focus on a fund’s net asset value, instead of market timing. The law suits argue that there would be no room for market timing if asset managers had used “fair value” to set the price of a fund’s share price. The lawsuits filed seek class action status and damages of more than $50,000 per plaintiff or class member, but not more than $75,000.