JPMorgan Turned CIO Into Secret Hedge Fund, Pensions Claim
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JPMorgan Chase & Co. turned its chief investment office into a “secret hedge fund” that caused more than $6.2 billion in losses, pension funds said in a revised complaint in their lawsuit against the bank.
JPMorgan represented that the office’s primary role was managing risk when in fact it was engaging in trades to generate profit for the New York-based bank, the funds said in an amended complaint filed yesterday in Manhattan federal court.