Lehigh University Sues Allianz Unit for Fund Mismanagement

Allianz Global Investors U.S. LLC, a unit of Allianz SE, misrepresented its investment strategy and mismanaged Lehigh University’s funds when Covid-19 hit the financial markets in early 2020, a suit filed Monday in New York federal court alleges.

Lehigh told the U.S. District Court for the Southern District of New York that it invested more than $67 million of its total portfolio in two funds managed by AllianzGI that purported to utilize an investment strategy with high predictability and low active risk.

The complaint alleges AllianzGI changed its tight risk managed options in April 2019, and unbeknownst to Lehigh, ...