{"id":4915,"date":"2018-03-05T18:35:11","date_gmt":"2018-03-06T00:35:11","guid":{"rendered":"https:\/\/www.investorlawyers.com\/blog\/?p=4915"},"modified":"2022-03-22T14:26:49","modified_gmt":"2022-03-22T19:26:49","slug":"retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/","title":{"rendered":"Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds &#038; Fidelity Undergoes Customer Exodus from Flagship Funds"},"content":{"rendered":"<p>\t\t\t\tThe US Securities and Exchange Commission has filed civil charges against Ameriprise Financial Services (AMP). The regulator is accusing the brokerage firm and investment adviser of recommending to retail retirement account customers that they purchase mutual fund shares that charged higher fees. Ameriprise purportedly failed to employ sales charge waivers when applicable.<\/p>\n<p>The Commission\u2019s order contends that the broker-dealer neglected to determine when certain retirement account customers qualified for mutual fund share classes that were not as costly.<\/p>\n<p>Instead, the firm would recommend and sell the more costly mutual fund shares even when the less pricey options were available. Ameriprise is accused of not letting these customers know that the firm would make more from the costly mutual fund shares even as their overall investment returns were harmed.<\/p>\n<p>The SEC said that about 1,971 customer accounts paid nearly $1.8M in up-front sales fees that were not warranted, costlier ongoing fees, \u201ccontingent deferred sales charges,\u201d and other expenses because of the way that Ameriprise handled the recommendation and sale of mutual funds to retirement account clients.<\/p>\n<p>The firm is cooperating with the regulator and has paid back customers that were affected with interest. Retirement account customers eligible for the less expensive mutual fund share classes have been moved to those classes free of charge.<\/p>\n<p> <a href=\"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/#more-4915\" class=\"more-link\">Continue Reading \u203a<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The US Securities and Exchange Commission has filed civil charges against Ameriprise Financial Services (AMP). The regulator is accusing the brokerage firm and investment adviser of recommending to retail retirement account customers that they purchase mutual fund shares that charged higher fees. Ameriprise purportedly failed to employ sales charge waivers when applicable. The Commission\u2019s order [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3791,3819,3752,3799,3801,3760,3741],"tags":[3010,2961],"class_list":["post-4915","post","type-post","status-publish","format-standard","hentry","category-ameriprise-securities-america","category-fidelity","category-financial-firms","category-mutual-funds","category-sec","category-sec-enforcement","category-securities-fraud","tag-mutual-funds","tag-sec"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds &amp; Fidelity Undergoes Customer Exodus from Flagship Funds | SSEK Law Firm Blog<\/title>\n<meta name=\"description\" content=\"The US SEC has filed civil charges against Ameriprise Financial Services (AMP), accusing the firm of recommending inappropriate mutual fund shares.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds &amp; Fidelity Undergoes Customer Exodus from Flagship Funds | SSEK Law Firm Blog\" \/>\n<meta name=\"twitter:description\" content=\"The US SEC has filed civil charges against Ameriprise Financial Services (AMP), accusing the firm of recommending inappropriate mutual fund shares.\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds & Fidelity Undergoes Customer Exodus from Flagship Funds | SSEK Law Firm Blog","description":"The US SEC has filed civil charges against Ameriprise Financial Services (AMP), accusing the firm of recommending inappropriate mutual fund shares.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/","twitter_card":"summary_large_image","twitter_title":"Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds & Fidelity Undergoes Customer Exodus from Flagship Funds | SSEK Law Firm Blog","twitter_description":"The US SEC has filed civil charges against Ameriprise Financial Services (AMP), accusing the firm of recommending inappropriate mutual fund shares.","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds &#038; Fidelity Undergoes Customer Exodus from Flagship Funds","datePublished":"2018-03-06T00:35:11+00:00","dateModified":"2022-03-22T19:26:49+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/"},"wordCount":661,"keywords":["Mutual Funds","SEC"],"articleSection":["Ameriprise - Securities America","Fidelity","Financial Firms","Mutual Funds","SEC","SEC Enforcement","Securities Fraud"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/","url":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/","name":"Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds & Fidelity Undergoes Customer Exodus from Flagship Funds | SSEK Law Firm Blog","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#website"},"datePublished":"2018-03-06T00:35:11+00:00","dateModified":"2022-03-22T19:26:49+00:00","author":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"description":"The US SEC has filed civil charges against Ameriprise Financial Services (AMP), accusing the firm of recommending inappropriate mutual fund shares.","breadcrumb":{"@id":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.investorlawyers.com\/blog\/retirement-accounts-ameriprise-settles-sec-allegations-overcharged-mutual-funds-fidelity-sees-customer-exodus-flagship-funds\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.investorlawyers.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Retirement Accounts : Ameriprise Settles SEC Allegations That It Overcharged for Mutual Funds &#038; 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