Ever since the fraud charges for improper trading hit Putnam, the No. 5 mutual fund firm has seen numerous clients look elsewhere for pensions, sub-advising and fund investing, in general.
As of today, Fidelity, the No. 1 mutual fund company, will take over where Putnam left off.
Putnam lost $245 billion, or 12% of its assets under management, in November alone. Other clients that have fired Putnam include the largest U.S. pension fund, CalPERs, and the largest U.S. retail chain, Wal-Mart.
New York Attorney General Eliot Spitzer and federal regulators have charged that Putnam allowed market timing, the rapid in-and-out trading of funds, by certain clients.