JP Morgan—Failure to Inform Clients Regarding Numerous Conflicts of Interest

investment fraud attorneysJP Morgan Must Pay $300 Million after Allegedly Failing to Inform Clients in What the SEC Calls Numerous Conflicts of Interest Regarding How it Managed Clients Funds over a Half Decade

JPMorgan Chase & Co. must pay more than $300 million to settle U.S. allegations that it allegedly did not properly inform clients regarding alleged numerous conflicts of interest in the way it managed client funds for over a half decade, according to SEC Documents currently under review by attorneys Joe Peiffer and Alan Rosca.

JP Morgan, the largest U.S. bank by assets, allegedly failed to tell customers that it took in profits by investing their money into mutual funds and hedge funds that generated fees for the company, according to said SEC Documents.

What is more, SEC allegations also include that the bank also allegedly failed to disclose its preference for putting clients’ money into its own investment products, SEC Documents note. The Peiffer Rosca Wolf securities lawyers are currently investigating JP Morgan’s alleged numerous instances of purported conflict of interest with client funds.

JPMorgan Subsidiaries Allegedly Failed to Disclose a Preference to Invest Client Money in Firm-managed Mutual Funds and Hedge Funds

JPMorgan subsidiaries also allegedly failed to disclose that they purportedly engaged in the practice of investing client money in firm-managed mutual funds and hedge funds, according to SEC Documents currently under review by attorneys Joe Peiffer and Alan Rosca.

What is more, clients of JPMorgan subsidiaries were allegedly denied all the facts to determine why investment decisions were being made by their investment advisers, the SEC notes.

Finally, as JPMorgan allegedly failed to tell customers it preferred JPMorgan-managed mutual funds and hedge funds from 2008 to 2013, the SEC has announced $267 million in penalties and disgorgements against JPMorgan, the SEC reports. Finally, the bank has agreed to pay an additional $40 million as part of a parallel action by the U.S. Commodity Futures Trading Commission (US CFTC), according to reports from the US CFTC.

Securities Lawyers Investigating

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of alleged conflict of interests regarding the management of client funds. They are currently investigating JPMorgan’s alleged failure to properly inform clients regarding alleged numerous conflicts of interest in the way it managed client funds for over a half decade. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

Investors who believe they lost money as a result of JPMorgan’s alleged failure to properly inform clients regarding alleged numerous conflicts of interest regarding the way it managed client funds may contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free no-obligation evaluation of their recovery options, at 888-998-0520.

Alan Rosca (1123 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.