Virtus Investment Partners Inc (NASDAQ: VRTS) Investor Securities Class Action Lawsuit 02/20/2015

You must submit the settlement "Proof" form attached below, in order to participate in this settlement. There is a strict deadline of October 10, 2018 by which all claims must be submitted. The instructions for submitting are included in the "Proof" and the "Notice" files attached below for your download. DO NOT SEND THE FORMS TO THE SHAREHOLDERS FOUNDATION, FOLLOW THE DIRECTIONS IN THE "PROOF".

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Virtus Investment Partners
Case Name: 
Virtus Investment Partners Shareholder Class Action Lawsuit 02/20/2015
Case Status: 
Lawsuit Filed
Case Status: 
Settlement Proposed
Affected Securities
NASDAQ: VRTS
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
02/20/2015
Class Period Begin: 
01/25/2013
Class Period End: 
05/11/2015
Court of Filing: 
U.S. District Court for the Southern District of New York
Deadline To File for Lead: 
04/21/2015
Date Settled: 
06/28/2018
Settlement Amount: 
$22,000,000
Deadline to Participate in Settlement: 
10/10/2018
Summary: 

June 28, 2018 - The court preliminarily approved the settlement.

May 18, 2018 - Parties filed a stipulation of settlement.

July 1, 2016 - The court granted in part and denied in part defendants' motion to dismiss.

August 21, 2015 - The lead plaintiff filed an amended consolidated complaint on behalf of investors who purchased Virtus Investment Partners Inc (NASDAQ: VRTS) common shares between January 25, 2013 and May 11, 2015. The lead plaintiff alleges that the defendants violated the Securities Exchange Act of 1934 by issuing false and misleading statements between January 25, 2013 and May 11, 2015.

June 9, 2015 - Lead plaintiff and lead counsel were appointed and all cases were consolidated.

April 21, 2015 - Lead plaintiff motions were filed.

February 20, 2015 - An investor in shares of Virtus Investment Partners Inc (NASDAQ: VRTS) filed a lawsuit in the U.S. District Court for the Southern District of New York over alleged violations of Federal Securities Laws by Virtus Investment Partners Inc in connection with certain allegedly false and misleading statements made between May 28, 2013 and December 22, 2014.

According to the complaint the plaintiff alleges on behalf of purchasers of Virtus Investment Partners Inc (NASDAQ: VRTS) common shares between May 28, 2013 and December 22, 2014, that the defendants violated Federal Securities Laws.

More specifically, the plaintiff claims that that since at least May 28, 2013, Virtus Investment Partners knew that its sales and marketing of the AlphaSector’s past track record was based on false and misleading statements about its success against the S&P 500 index and that Virtus Investment Partners’ sales of its AlphaSector funds drove its increases in revenues and income, and caused substantial artificial appreciation in its stock price.

Virtus Investment Partners Inc is a provider of investment management products and services to individuals and institutions.

According to an analyst F-Squared Investments Inc sub-advises on the Virtus Investment Partners mutual funds Premium AlphaSector (VAPAX), Allocator Premium AlphaSector (VAAAX), AlphaSector Rotation (PWBAX), Global Premium AlphaSector (VGPAX), Dynamic AlphaSector (EMNAX), that represent about $13 billion, or one-fifth, of Virtus Investment Partners Inc’s $61 billion in assets under management.

According to a media report from early September 2014 F-Squared Investments Inc received a Wells notice from the Securities and Exchange Commission (“SEC”) reportedly indicating the SEC is considering bringing a civil case against F-Squared Investments Inc. in late 2013, F-Squared Investments Inc reportedly told clients it was being investigated by the SEC, and earlier in 2014 F-Squared Investments Inc reportdelty said the regulator's investigation found certain F-Squared Investments Inc’s historical returns overstated performance.

The plaintiff says that subsequently, on December 22, 2014, the SEC announced its settlement of an administrative proceeding against F-Squared for a penalty of $35 million, revealing further details about the fraud. The plaintiff alleges that that Virtus Investment Partners Inc concealed its knowledge and role in F-Squared’s fraud from its investors, and knew that its stock price was artificially inflated.

Virtus Investment Partners Inc (NASDAQ: VRTS) declined from $224.50 per share in early September 2014 to as low as $128.17 per share on January 30, 2015.

On February 20, 2015, NASDAQ: VRTS shares closed at $145.52 per share.