Pension group to sue Goldman Sachs for £250m

The asset management division of Goldman Sachs is being sued over a perceived mis-handling of a £5.6bn pension fund at the zenith of the global financial crisis.

by Michael Northcott
Last Updated: 19 Aug 2013

As if the banking community needed any more bad press after this week, Goldman Sachs now has its head on the block after Dutch pension group Pensioenfonds Vervoer announced plans to sue the bank for £250m for investing pension funds in the wrong types of assets resulting in major losses. The case is expected to be filed in London's High Court.

Reported figures show that the fund lost more than 14% of its value in 2008 thanks to Goldman's investments, prompting the pension fund to launch a review and eventually replace the bank as its principal fund manager in 2010. It is worth noting that other asset managers achieved even worse losses for their pension fund clients in 2008, but that won't be any consolation to the pension holders whose money was lost. Goldman Sucks.

While economic concerns continue to fester worldwide, it is no surprise that people are trying their best to screw the banks for a few quid. And given the Libor rate-fixing scandal that broke this week, we can't help but pick up on a satisfying sense of quid pro quo...

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