Bronstein, Gewirtz and Grossman, LLC Encourages Franklin Resources, Inc. (BEN) Stockholders to Inquire about Securities Investigation
Bronstein, Gewirtz & Grossman, is investigating potential claims against Franklin Resources, Inc. (NYSE:BEN) on behalf of its stockholders. 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, federal prosecutors are reportedly investigating a potential 'cherry-picking' practice at Western Asset Management.
Following this news, Franklin's stock price fell $2.84 per share (12.56%) to close at $19.78 on August 21, 2024. Investors who purchased Franklin securities are encouraged to assist in the investigation. The law firm is representing investors on a contingency fee basis, seeking reimbursement for expenses and attorneys' fees only if successful.
Bronstein, Gewirtz & Grossman sta indagando su potenziali reclami contro Franklin Resources, Inc. (NYSE:BEN) per conto dei suoi azionisti. L'indagine segue la notizia che la sussidiaria di Franklin, Western Asset Management Company, ha annunciato che il suo co-Chief Investment Officer Ken Leech è in congedo dopo aver ricevuto un Wells Notice dalla SEC. Inoltre, i pubblici ministeri federali stanno apparentemente indagando su una potenziale pratica di ‘cherry-picking’ presso Western Asset Management.
In seguito a questa notizia, il prezzo delle azioni di Franklin è sceso di $2.84 per azione (12.56%) per chiudere a $19.78 il 21 agosto 2024. Gli investitori che hanno acquistato titoli Franklin sono incoraggiati a contribuire all'indagine. Lo studio legale rappresenta gli investitori su base di commissione contingente, cercando rimborso per spese e onorari legali solo se avrà successo.
Bronstein, Gewirtz & Grossman está investigando posibles reclamaciones contra Franklin Resources, Inc. (NYSE:BEN) en nombre de sus accionistas. 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, los fiscales federales están supuestamente investigando una potencial práctica de ‘cherry-picking’ en Western Asset Management.
Tras esta noticia, el precio de las acciones de Franklin cayó $2.84 por acción (12.56%) para cerrar en $19.78 el 21 de agosto de 2024. Se alienta a los inversores que compraron valores de Franklin a colaborar en la investigación. El bufete de abogados representa a los inversores en base a honorarios de contingencia, buscando reembolsar gastos y honorarios de abogados solo si tiene éxito.
Bronstein, Gewirtz & Grossman은 Franklin Resources, Inc. (NYSE:BEN)의 주주를 대신하여 잠재적인 청구 사항을 조사하고 있습니다. 이 조사는 Franklin의 자회사인 Western Asset Management Company가 공동 최고 투자 책임자인 Ken Leech가 SEC의 Wells Notice를 접수한 후 휴직 중이라는 소식을 전하면서 시작되었습니다. 또한, 연방 검찰은 Western Asset Management에서 잠재적인 '체리 피킹' 관행을 조사하고 있는 것으로 보입니다.
이 뉴스 이후, Franklin의 주가는 주당 $2.84(12.56%) 하락하여 2024년 8월 21일 $19.78로 마감했습니다. Franklin 증권을 구매한 투자자들은 조사에 협력할 것을 권장합니다. 법무법인은 성공할 경우에만 비용과 법률 비용을 상환받기 위해 투자자를 대리합니다.
Bronstein, Gewirtz & Grossman investigue des revendications potentielles contre Franklin Resources, Inc. (NYSE:BEN) au nom de ses actionnaires. L'enquête fait suite à l'annonce que la filiale de Franklin, Western Asset Management Company, a déclaré que son co-Chief Investment Officer Ken Leech est en congé après avoir reçu un Wells Notice de la SEC. De plus, des procureurs fédéraux enquêteraient apparemment sur une pratique potentielle de 'cherry-picking' chez Western Asset Management.
Suite à cette nouvelle, le prix des actions de Franklin a chuté de 2,84 $ par action (12,56 %) pour clôturer à 19,78 $ le 21 août 2024. Les investisseurs ayant acheté des titres Franklin sont encouragés à participer à l'enquête. Le cabinet d'avocats représente les investisseurs sur une base de frais de réussite, cherchant le remboursement des frais et des honoraires d'avocat uniquement en cas de réussite.
Bronstein, Gewirtz & Grossman untersucht potenzielle Ansprüche gegen Franklin Resources, Inc. (NYSE:BEN) im Namen seiner Aktionäre. Die Untersuchung folgt der Nachricht, dass die Tochtergesellschaft von Franklin, die Western Asset Management Company, angekündigt hat, dass ihr Co-Chief Investment Officer Ken Leech im Urlaub ist, nachdem er eine Wells Notice von der SEC erhalten hat. Darüber hinaus sollen Bundesstaatsanwälte Berichten zufolge eine potenzielle 'Cherry-Picking'-Praxis bei Western Asset Management untersuchen.
Nach dieser Nachricht fiel der Aktienkurs von Franklin um $2.84 pro Aktie (12.56%) und schloss am 21. August 2024 bei $19.78. Investoren, die Franklin-Wertpapiere gekauft haben, werden ermutigt, bei der Untersuchung zu helfen. Die Rechtsanwaltskanzlei vertritt Investoren auf Erfolgsbasis und sucht eine Rückerstattung von Gebühren und Anwaltshonoraren nur im Erfolgsfall.
- None.
- Co-Chief Investment Officer of subsidiary Western Asset Management on leave due to SEC Wells Notice
- Federal criminal probe into potential 'cherry-picking' practice at Western Asset Management
- Stock price fell 12.56% following the news
- Potential legal claims against the company
Insights
The investigation into Franklin Resources and its subsidiary Western Asset Management is highly significant. The allegations of "cherry-picking" trades for favored accounts are serious violations of securities laws if proven true. This could lead to substantial financial penalties and reputational damage for Franklin.
The involvement of both the SEC (issuing a Wells Notice) and federal prosecutors indicates the gravity of the situation. Wells Notices often precede formal charges, suggesting that the SEC believes it has sufficient evidence to bring an enforcement action. The criminal probe by federal prosecutors adds another layer of potential legal jeopardy.
Investors should be concerned about the potential for class-action lawsuits, which could result in significant settlements or judgments against the company. The
The allegations against Franklin Resources could have far-reaching financial implications. If proven, "cherry-picking" trades could lead to substantial fines, potentially in the hundreds of millions of dollars, based on precedents in similar cases. Moreover, the company may face client withdrawals, especially from institutional investors who prioritize ethical management practices.
The immediate
Investors should closely monitor AUM trends, client retention rates and any provisions for legal expenses in upcoming financial reports. These metrics will be important indicators of the scandal's impact on Franklin's financial health and future earnings potential.
This scandal could significantly reshape the competitive landscape in the asset management industry. Franklin Resources, a major player with a long-standing reputation, may see its market share erode as competitors capitalize on its vulnerabilities. Ethical investing and governance have become increasingly important to investors and this incident may drive clients to seek alternatives with stronger compliance track records.
The industry as a whole may face increased regulatory scrutiny, potentially leading to stricter oversight and compliance requirements. This could raise operational costs across the board but may disproportionately affect firms with weaker internal controls.
Investors should watch for shifts in fund flows within the industry, as well as any changes in marketing strategies by Franklin's competitors to highlight their own ethical practices. The long-term impact on Franklin will depend on how effectively they manage this crisis and implement reforms to prevent future occurrences.
NEW YORK CITY, NY / ACCESSWIRE / August 29, 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
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