Capital One, Booz Allen Face Suits Over BlackRock 401(k) Funds

Capital One Financial Corp., Booz Allen Hamilton Inc., and Genworth Financial Inc. are the latest companies to face proposed class actions by workers challenging the BlackRock Inc. target date funds in their 401(k) plans.

The lawsuits challenge the performance of a suite of BlackRock target date funds that each company allegedly designated as the default investment option in its employees’ retirement plan. These funds significantly underperformed similar target date funds offered by competitors and caused the plans to lose millions in retirement savings, the lawsuits allege.

The three cases, each filed Monday in the US District Court for ...