New York University employees failed for a second time to hold the school liable for putting higher-cost, retail share classes of mutual funds in their retirement plans.
A federal judge Oct. 19 refused to undo an August decision dismissing the workers’ claim that NYU acted imprudently when it offered retail share classes in its retirement plans instead of institutional share classes that were allegedly identical and less expensive. A retirement plan won’t be liable for offering a bad or expensive investment if the overall “mix” of investments is reasonable, the judge said (Sacerdote v. N.Y. Univ., S.D.N.Y., No. 1:16-cv-06284-KBF, order denying motion for reconsideration 10/19/17
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