NEW YORK, Oct. 24, 2008 (GLOBE NEWSWIRE) -- The Securities Law Firm of Klayman & Toskes, P.A. (http://www.nasd-law.com) announced today that it filed an arbitration claim against Wachovia and Evergreen Investment Services with the Financial Industry Regulatory Authority's ("FINRA") Office of Dispute Resolution. The claim seeks to recover damages sustained in the Evergreen Ultra Short Opportunities Fund ("Evergreen Fund" or "the Fund") (Nasdaq:EUBAX) (Nasdaq:EUBBX) (Nasdaq:EUBCX) and (Nasdaq:EUBIX).
When investors were solicited to purchases shares of the Fund, they were advised that the investment objective of the Fund was preservation of capital. Specifically, within several verbal discussions as well as the sales material distributed to the investing public, the Fund was promoted as one that sought "current income consistent with preservation of capital and low principal fluctuation." However, investors have complained that Evergreen misled them with regard to the risks associated with the Fund, as well as the Fund's exposure to the subprime mortgage market. It turns out that the Fund was not diversified, but instead was over-concentrated with approximately 72% of its assets invested in the mortgage industry. The Fund primarily invested in residential and commercial fixed and variable rate mortgage-backed securities including collateralized mortgage obligations ("CMOs") and other types of mortgage related securities. As a result of the high-risk asset allocation of the Fund, it experienced a decline of about 20% in less than 3 weeks.
Klayman & Toskes reminds investors of the benefits of filing an individual arbitration claim, as opposed to participating in a class action lawsuit. By participating in a class action lawsuit, an investor will most likely recover only pennies on the dollar. However, if one has experienced losses of $50,000 or more in the Evergreen Ultra Short Opportunities Fund, it may be more beneficial for them to file an individual securities arbitration claim. In 2003, Klayman & Toskes conducted a detailed study of securities arbitration versus class action. The study concluded that investors who file a securities arbitration claim traditionally obtain an overall higher rate of recovery as opposed to participating in a class action lawsuit. To view the full results of the comparison, please visit our web-site: http://www.nasd-law.com/documents/classvr.pdf
The attorneys at the Law Firm of Klayman & Toskes are dedicated to aggressively pursuing claims on behalf of investors who have suffered substantial losses. Klayman & Toskes, an experienced, qualified and nationally recognized securities litigation law firm, practices exclusively in the field of securities arbitration and litigation. It continues its representation of investors throughout the world in securities arbitration and litigation matters against Wall Street brokerage firms.
If you lost $25,000 or more in the Evergreen Ultra Short Opportunities Fund and wish to discuss your legal options at no obligation, please contact Steven D. Toskes, Esquire or Jahan K. Manasseh, Esquire of Klayman & Toskes, P.A., at 888-997-9956, or visit us on the web at http://www.nasd-law.com.