'Closet Indexers' Face Legal Action from Investors

Financial Times
May 25, 2014

Michael W. Stocker provides insight on closet indexers and the potential on taking legal action against them

"If a mutual fund promises active investment but in fact relies on simple and cheap index-based investment strategies, investors have cause for alarm. The premise for a case is simple: if you pay for a Rolls-Royce but are given a Dodge, you are not getting what you paid for."