MetLife Settles Suit Challenging 401(k) Plan’s In-House Funds

MetLife Group Inc. announced plans to settle a proposed class action challenging the affiliated index funds in its employees’ $7.3 billion 401(k) plan.

The parties reached a tentative agreement after completing a private mediation session and plan to file paperwork seeking court approval for the deal by early November, they said in an Oct. 6 letter to Judge Jennifer H. Rearden of the US District Court for the Southern District of New York.

The two-year-old lawsuit, which covers a proposed class of more than 27,000 people, says MetLife chose affiliated index funds for its 401(k) plan over better, cheaper options ...