Macquarie Asset Management statement on SEC settlement

Macquarie Asset Management, through one of its registered investment advisors in the US, Macquarie Investment Management Business Trust (MIMBT) has today settled an investigation by the U.S. Securities and Exchange Commission (SEC) into its discontinued fixed income Absolute Return Mortgage-Backed Securities Strategy (ARMBS Strategy). The settlement resolves the investigation concerning MIMBT.

The ARMBS Strategy was primarily invested in fixed income securities. The investigation focused on valuation, disclosures and trading activity in the ARMBS Strategy over the period from January 2017 through April 2021, when the strategy was discontinued.  

Without admitting to nor denying the SEC’s findings, MIMBT has agreed to pay a civil penalty to settle the investigation. MIMBT will remediate clients impacted by the valuation and trading activity at issue in the investigation.

Regarding the settlement, Macquarie Asset Management shared the following statement:

“Our business is built on the principles of integrity and accountability. This legacy matter is not consistent with how we do business. We have already undertaken and are focused on completing additional remedial steps to address the issues identified in the investigation, with clients the priority. We also continue to invest in our risk culture to ensure we discharge our fiduciary duties to the highest standard.”