Bronstein, Gewirtz and Grossman, LLC Announces an Investigation Against Franklin Resources, Inc. (BEN) and Encourages Investors to Seek Compensation for Alleged Wrongdoings
Bronstein, Gewirtz & Grossman, is investigating potential claims against Franklin Resources, Inc. (NYSE:BEN). The investigation follows news that Franklin's subsidiary, Western Asset Management Company, announced its co-Chief Investment Officer Ken Leech is on leave after receiving a Wells Notice from the SEC. Additionally, Bloomberg reported that federal prosecutors are investigating whether a Western Asset Management executive engaged in 'cherry-picking' trades. This news caused Franklin's stock to drop 12.56%, closing at $19.78 on August 21, 2024. Investors who purchased Franklin securities are encouraged to participate in the investigation.
Bronstein, Gewirtz & Grossman sta indagando su potenziali richieste contro Franklin Resources, Inc. (NYSE:BEN). L'indagine segue la notizia che la sussidiaria di Franklin, Western Asset Management Company, ha annunciato che il suo co-Capo Ufficio Investimenti Ken Leech è in ferie dopo aver ricevuto un Wells Notice dalla SEC. Inoltre, Bloomberg ha riportato che i procuratori federali stanno indagando su un possibile coinvolgimento di un dirigente di Western Asset Management in operazioni di 'cherry-picking'. Questa notizia ha causato un calo delle azioni di Franklin del 12,56%, chiudendo a 19,78 dollari il 21 agosto 2024. Gli investitori che hanno acquistato titoli Franklin sono invitati a partecipare all'indagine.
Bronstein, Gewirtz & Grossman está investigando posibles reclamaciones contra Franklin Resources, Inc. (NYSE:BEN). La investigación sigue a la noticia de que la subsidiaria de Franklin, Western Asset Management Company, anunció que su co-Chief Investment Officer Ken Leech está de licencia tras recibir un Wells Notice de la SEC. Además, Bloomberg reportó que los fiscales federales están investigando si un ejecutivo de Western Asset Management participó en operaciones de 'cherry-picking'. Esta noticia hizo que las acciones de Franklin cayeran un 12,56%, cerrando a 19,78 dólares el 21 de agosto de 2024. Se alienta a los inversores que compraron valores de Franklin a participar en la investigación.
Bronstein, Gewirtz & Grossman은 Franklin Resources, Inc. (NYSE:BEN)에 대한 잠재적인 청구를 조사하고 있습니다. 이번 조사는 Franklin의 자회사인 Western Asset Management Company가 공동 최고 투자 책임자인 Ken Leech가 SEC로부터 Wells Notice를 받았다고 발표한 후에 시작되었습니다. 또한 Bloomberg는 연방 검사가 Western Asset Management의 경영진이 'cherry-picking' 거래에 관여했는지를 조사하고 있다고 보도했습니다. 이 소식으로 Franklin의 주가는 12.56% 하락하여 2024년 8월 21일 19.78달러에 마감했습니다. Franklin 증권을 구매한 투자자들은 조사를 참여할 것을 권장합니다.
Bronstein, Gewirtz & Grossman est en train d'enquêter sur d'éventuelles réclamations contre Franklin Resources, Inc. (NYSE:BEN). L'enquête fait suite à l'annonce que la filiale de Franklin, Western Asset Management Company, a indiqué que son co-Directeur des Investissements Ken Leech est en congé après avoir reçu un Wells Notice de la SEC. De plus, Bloomberg a rapporté que des procureurs fédéraux enquêtent sur un éventuel engagement d'un cadre de Western Asset Management dans des transactions de 'cherry-picking'. Cette nouvelle a provoqué une chute de 12,56% des actions de Franklin, qui ont clôturé à 19,78 dollars le 21 août 2024. Les investisseurs ayant acheté des titres Franklin sont encouragés à participer à l'enquête.
Bronstein, Gewirtz & Grossman untersucht potenzielle Ansprüche gegen Franklin Resources, Inc. (NYSE:BEN). Die Untersuchung folgt auf die Nachricht, dass die Tochtergesellschaft von Franklin, Western Asset Management Company, bekannt gegeben hat, dass ihr Co-Chief Investment Officer Ken Leech nach Erhalt eines Wells Notice von der SEC im Urlaub ist. Zudem berichtete Bloomberg, dass Bundesanwälte untersuchen, ob ein Vorstand von Western Asset Management an 'Cherry-Picking'-Handel beteiligt war. Diese Nachricht führte dazu, dass die Aktien von Franklin um 12,56% fielen und am 21. August 2024 bei 19,78 Dollar schlossen. Investoren, die Franklin-Werte erworben haben, werden ermutigt, an der Untersuchung teilzunehmen.
- None.
- Co-Chief Investment Officer Ken Leech placed on leave of absence
- SEC issued a Wells Notice to Ken Leech
- Federal prosecutors investigating potential 'cherry-picking' of trades
- Stock price fell 12.56% following the news
Insights
The investigation into Franklin Resources, Inc. (BEN) and its subsidiary Western Asset Management Company raises significant legal and regulatory concerns. The receipt of a Wells Notice by co-CIO Ken Leech indicates that the SEC is considering enforcement action, which could lead to substantial penalties and reputational damage. The alleged "cherry-picking" practice, if proven, violates fiduciary duties and securities laws.
This situation could potentially result in class-action lawsuits, regulatory fines and increased scrutiny of Franklin's operations. Investors should be aware that such investigations often lead to prolonged legal battles and may impact the company's financial performance and stock valuation in the short to medium term. The immediate
The investigation into Franklin Resources (BEN) poses significant financial risks for the company. If allegations of "cherry-picking" are substantiated, it could lead to hefty fines, legal settlements and potential client withdrawals. The immediate
Long-term implications may include:
- Increased compliance costs
- Potential loss of institutional clients
- Damage to the company's reputation in the asset management industry
This investigation could have ripple effects across the asset management industry. If widespread "cherry-picking" practices are uncovered, it may lead to increased regulatory scrutiny and stricter compliance requirements for all players in the sector. Competitors might benefit in the short term from Franklin's troubles, potentially gaining market share.
However, the broader impact could be a loss of investor confidence in actively managed funds, accelerating the trend towards passive investing. This situation highlights the importance of robust internal controls and ethical practices in the financial services industry. Investors may now place greater emphasis on firms with strong governance structures and transparent operations when selecting asset managers.
NEW YORK CITY, NY / ACCESSWIRE / August 26, 2024 / Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of Franklin Resources, Inc. ("Franklin" or "the Company") (NYSE:BEN). Investors who purchased Franklin securities are encouraged to obtain additional information and assist the investigation by visiting the firm's site: bgandg.com/BEN.
Investigation Details
On August 21, 2024, Franklin subsidiary Western Asset Management Company issued a press release announcing that co-Chief Investment Officer Ken Leech "is on a leave of absence, effective immediately" after "receiv[ing] a Wells Notice from the Staff of the U.S. Securities and Exchange Commission". That same day, Bloomberg reported that "[f]ederal prosecutors in New York are investigating whether a Western Asset Management executive allocated winning trades to favored accounts, as part of a criminal probe into a practice known as ‘cherry-picking.'"
On this news, Franklin's stock price fell
What's Next?
If you are aware of any facts relating to this investigation or purchased Franklin securities, you can assist this investigation by visiting the firm's site: bgandg.com/BEN . You can also contact Peretz Bronstein or his client relations manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC: 332-239-2660.
There is No Cost to You
We represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide.
Attorney advertising. Prior results do not guarantee similar outcomes.
CONTACT:
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Nathan Miller,
332-239-2660 | info@bgandg.com
SOURCE: Bronstein, Gewirtz and Grossman, LLC
View the original press release on accesswire.com
FAQ
What is the investigation against Franklin Resources (BEN) about?
How did Franklin Resources' (BEN) stock price react to the news on August 21, 2024?
What is a Wells Notice in relation to Franklin Resources (BEN)?
What is 'cherry-picking' in the context of the Franklin Resources (BEN) investigation?
