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00:02BlackRock was sued by investors who accused the asset manager of using improper accounting
00:06that inflated the net asset values of more than 70 equity mutual funds, according to Reuters.
00:12The complaint, filed Monday in New York State Court, alleges BlackRock classified dividend
00:17income and realized capital gains as fund assets, even though the money had to be distributed to
00:23investors within the tax year. Investors said the inflated fund values left them with fewer shares
00:28and higher management fees and taxes. Neither BlackRock nor the investors' lawyers
00:33immediately responded to requests for comment. BlackRock has said more than half of its managed
00:38assets are held in retirement accounts, which face different tax consequences than non-retirement
00:42accounts. For all things money, visit Benzinga.com.
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