Investors who thought they put money into actively managed funds, but got products that were simply tracking indexes, may sue the companies involved, reports the Financial Times.

Such funds are known as “closet indexers” because they charge the higher fees of actively managed funds, but produce similar results to passive ones.

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One analytics firm says investors could get billions in damages if they go to court. It finds that of a sample of 1,147 U.S. equity funds, 15% are closet indexers, says FT.

In America, some pension funds are considering a class-action suit. Other suits are in their early stages in the U.K. and Sweden.

Read more here.

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