JPMorgan Chase is handing over $100 million to clients after settling a wave of allegations from the U.S. Securities and Exchange Commission.
The bank settled five separate cases with the agency and will pay an additional $51 million to regulators, for a total of $151 million.
The alleged violations include misleading disclosures, breaches of fiduciary duty and prohibited transactions.
Customers who invested in the bank’s “Conduit” products will receive $90 million directly from the bank, and the bank will pay an additional $10 million to a civil fund that will also be distributed to Conduit investors.
The SEC says affected customers were not told that JPMorgan would exercise full control over when to sell shares and how much to sell.
“As a result, investors were subject to market risks and the value of certain stocks declined significantly as JPMorgan took months to sell the shares.”
JPMorgan is also accused of promoting more expensive mutual funds when cheaper ETFs were available, failing to disclose its financial incentives while recommending its portfolio management program, and favoring a foreign money market fund rather than prioritizing money market funds that the bank managed.
The SEC says more than 1,500 customers will receive money from the settlement.
In all cases, JPMorgan has neither admitted nor denied any wrongdoing.
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