(Bloomberg) -- F-Squared Investments, a manager of investment products using ETFs that last year admitted to misleading investors about its performance, has eliminated about 25% of its staff, according to a person with knowledge of the matter.

The Wellesley, Mass.-based firm, which oversaw more than $24 billion at the end of last year, dismissed about 40 of its 161 employees, the person said, who asked not to be identified because the information is private. The firm has pared back as it adjusts to slower growth, said the person.

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