The smart money goes after what’s rightfully theirs

FRT Admin
Site administrator
June 29, 2011

The potential for Institutional Investors to recover funds from providers of mortgage backed securities increased significantly today, when Bank of America Corp. agreed to an $8.5 billion claims settlement. The payment will be the largest such settlement by a financial-services company to date. The claim was brought on by a group of 22 high-profile investors who held mortgage-backed securities originally valued at $105 billion.

Though the settlement is private, it covers not only the 22 high-profile holders, but all investors in 530 separate bond deals. The original face value of all bonds covered by the deal is $424 billion.

It is expected that the deal will encourage mutual-fund managers, insurance companies, and other institutional investors to pursue additional claims with other major U.S. banks.  On a related note, there are numerous securities class action settlements currently anticipated that are related to subprime mortgage investments and losses that investors in companies which were involved experienced.

As banks and lenders continue to feel the backlash of the subprime mortgage fiasco, securities class action settlement claim service providers, like Financial Recovery Technologies (FRT), will continue to help institutions recover more settlement funds than they typically can recover on their own. FRT routinely compares clients’ trading history against a proprietary database to ensure that all investment holdings are evaluated against active securities class action cases, including increasingly prevalent mortgage backed security settlements.

Contact us today to find out how Financial Recovery Technologies can ensure your firm recovers all settlement funds that it is entitled to receive.

Read the Wall Street Journal article by Dan Fitzpatrick detailing the Bank of America settlement.

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Founded in 2008, Financial Recovery Technologies (FRT) is a leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability and transparency available. For more information, go to www.frtservices.com.

 

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and does not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.