National Conference on Public Employee Retirement Systems

The Voice for Public Pensions

NCPERS Securities Fraud Recovery Services

For a public plan to fulfill its fiduciary duties in responding to securities fraud losses in its investment portfolios, it needs unbiased advice and information about potential foreign cases as well as a process to seek to determine whether it received all funds due it from securities litigation class action recoveries.

To help its smaller public pension plan members address these fiduciary challenges, NCPERS has partnered with DIVIDEX Management LLC to create NCPERS Securities Fraud Recovery Services.


About NCPERS Securities Fraud Recovery Services

Designed after months of conversations and evaluations with a focus group composed of five target public pensions, NCPERS Securities Fraud Recovery Services was created to help NCPERS pension fund members make more informed decisions as to when and how to take action regarding opportunities to recover securities fraud losses with minimal in-house staff time spent in doing so.

The year-long pilot program begins July 1, 2023 and is open to the first 25 public pension fund members that enroll. In order to be eligible, the fund must 1) be a pension fund in good standing with NCPERS and 2) have $30 billion AUM or less; or have annual average securities litigation recoveries of less than $2.5 million. The base level of services is available to enrolled members at no cost, with optional services available for nominal fees. Sign up here to enroll.

Participating pension funds will receive:

  • Up to three free consultations where, upon request, DIVIDEX Management will help your fund evaluate whether it makes sense to pursue a domestic or foreign securities fraud recovery opportunity. Such an evaluation may include a loss analysis and prudence of serving as lead plaintiff or opting-out of domestic cases, or joinder in foreign cases. Additional evaluation services are available for a fee of $500 per case consultation.

  • Free monthly reports containing information on foreign securities fraud recovery opportunities; claims filing deadlines for select class action settlements; and payouts from select large class action settlements.

  • Reconciliation services to analyze the efficacy of their securities class action settlement claims filings and recoveries on selected cases. For this service, participating funds will provide DIVIDEX Management with the subject securities transactions and holdings data. In the event a fund elects to receive a Settlement Recovery Evaluation, the cost will be $100 per case, payable directly to DIVIDEX Management.

Participating members may also elect to have DIVIDEX Management provide Foreign Assistance Services—negotiating retention, joinder and litigation funding agreements on behalf of the pension fund—at a cost per filed case of $5,000.
Sign up here to enroll in the pilot program, and find answers to frequently asked questions here.