On January 6, 2025, Ameriprise Financial asked a judge to dismiss parts of a lawsuit filed by a group of investors concerning the interest rates paid on uninvested cash. The company also requested that other legal claims be moved to private arbitration.
Four investors are suing Ameriprise in federal court in Minneapolis, accusing the firm of breach of fiduciary duty and contract. They allege that Ameriprise should have paid higher interest rates on uninvested cash, noting that the company paid as little as 0.01%.
This legal challenge highlights scrutiny over cash management practices in the financial services industry. The outcome of this lawsuit could have implications for Ameriprise's client cash management policies and potential financial liabilities.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.