MIAMI, June 30, 2015 (GLOBE NEWSWIRE) -- The securities arbitration law firm of Dimond Kaplan & Rothstein, P.A. (www.dkrpa.com) is investigating brokerage firms’ sales practices relating to recommendations and sales of Virtus AlphaSector® Funds. Virtus mutual funds used F-Squared Investments’ AlphaSector strategy since late 2009. F-Squared recently agreed to pay $35 million to settle SEC claims that it defrauded investors. F-Squared admitted that it misled investors by falsely claiming a successful seven-year track record for its strategy. In reality, its AlphaSector algorithm was not even in existence during the seven years of purported performance success.
Virtus is a Connecticut-based mutual fund company. Before F-Squared admitted it misled investors, about $12 billion of Virtus’ assets were tied to the misleading F-Squared algorithm.
F-Squared-related funds were marketed and sold by numerous brokerage firms and RIAs including, but not limited to, the following:
Ameriprise SPS Advantage
AssetMark
Ausdal Financial Partners
LPL Financial
RBC Wealth Management
Raymond James
Charles Schwab
Stifel Nicolaus
UBS Financial Services
Wells Fargo Advisors
Some of these brokerage firms now prohibit brokers from selling F-Squared products.
Dimond Kaplan & Rothstein, P.A. represents defrauded investors throughout the United States in FINRA arbitration claims. If you lost money in a Virtus AlphaSector fund or any other F-Squared-related investment, please contact a Dimond Kaplan & Rothstein FINRA arbitration lawyer for a free consultation http://www.dkrpa.com.