State Farm Investment Management Corp. is being sued overalleged excessive fees it charges on five of its proprietarytarget date funds.

The five products, which are part of State Farm’s branded“LifePath” series of target date funds, are managed by BlackRockFund Advisors.

More than $6.2 billion in assets are managed in the five fundsin question. Investors pay a total of about $39.2 million in feesfor all of the funds. About $21.7 million goes to BlackRock, andState Farm takes the rest, about $17.5 million, or 44 percent ofall fees investors pay to buy into the funds.

Continue Reading for Free

Register and gain access to:

  • Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Nick Thornton

Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.