United States Second Circuit
Pension Benefit Guar. Corp. v. Morgan Stanley Inv. Mgmt. Inc., 10-4497
In an action alleging that a pension plan administrator purchased and continued to hold certain mortgage-backed securities in violation of its fiduciary duties under ERISA, the District Court's dismissal is affirmed where the amended complaint fails to allege facts supporting the plausible inference that defendant knew or should have known that the particular mortgage-backed securities in the portfolio were imprudent investments, as a decline in market price of a type of security does not, by itself, give rise to the reasonable inference that it was imprudent to purchase or hold that type of security.
Appellate Information
- Decided 04/02/2013
- Published 04/02/2013
Judges
- CABRANES
Court
- United States Second Circuit