LJM Funds Management, Ltd. Accused of Exposing Investors to Disastrous Losses
According to the complaint, LJM Funds Management, Ltd (LJMIX). represented in its Registration Statements and Prospectuses that "he Fund aims to preserve capital, particularly in down markets (including major market drawdowns), through using put option spreads as a form of mitigation risk." LJMIX further stated that " seeks capital appreciation and capital preservation with low correlation to the broader U.S. equity market." Although LJMIX represented that it was acting in its investors' best interests, LJMIX was not focused on capital preservation and left investors exposed to an unacceptably high risk of catastrophic losses. The truth began to emerge on February 5, 2018, when the S&P fell approximately 4.6%. In the wake of this drop, LJMIX plunged over 80% to close at $1.94 on February 7, 2018.
LJM Funds Management Shareholders Have Legal Options
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