The asset supervisor’s shares slumped 12.5% yesterday after the agency mentioned in a press release that Ken Leech, co-CIO of subsidiary Western Asset Administration had taken a depart of absence.
Final month, Franklin Templeton mentioned that the US Division of Justice and the Securities and Alternate Fee had been launching an investigation into WAM’s previous commerce allocations of treasury derivatives in a plethora of WAM-managed accounts.
WAM has mentioned the corporate is “cooperating with the investigations”. Based mostly on the conclusion of the SEC’s investigation, the agency mentioned it’ll “take motion as warranted”. …
