Deutsche Bank Latest Target of 401(k) Fee Class Action

Deutsche Bank is the latest financial services giant to be hit with a class action accusing it of stuffing its 401(k) plan with high-fee, in-house funds (Moreno v. Deutsche Bank Ams. Holding Corp., S.D.N.Y., 5:15-cv-09936, complaint filed 12/21/15).

According to the complaint, filed Dec. 21 by Minneapolis-based Nichols Kaster PLLP, Deutsche Bank Americas Holding Corp. invested more than $300 million of its workers’ retirement savings in an in-house index fund that carried fees 11 times higher than a comparable fund offered by Vanguard. This cost the workers millions of dollars in investment management fees that “went directly ...