Northern Trust’s In-House 401(k) Fund Accord Gets Final Approval

Northern Trust Co. on Tuesday finalized a $6.9 million class settlement resolving allegations that the financial services company improperly favored its own target-date funds in its 401(k) plan.

The deal, which represents about 12% of the workers’ estimated damages, will benefit about 14,000 people who held Northern Trust funds in the company’s retirement plan since June 2015. Magistrate Judge Keri L. Holleb Hotaling of the US District Court for the Northern District of Illinois granted final approval to the deal and awarded nearly $2.3 million in attorneys’ fees and expenses.

• Northern Trust is accused of enriching itself at the ...