To prove to its investors that it is working tirelessly to regain a once solid reputation, Putnam Investments has begun to disclose to the Securities and Exchange Commission how much money its own fund managers invest in their funds, Bloomberg reports.
The admission that money managers have at least $530,000 invested in the firms six equity funds signals a preemptive move by Putnam. A new SEC rule requiring managers to disclose their holdings does not take effect until February.
Putnam has been embroiled in the mutual fund scandal since almost from the beginning. This past April, the company paid $110 million in penalties for not disclosing improper trading in its funds.
In addition, more disclosures at Putnam are said to be on the way. In its attempts to garner business from a state pension fund in California, the company agreed that it would release the details of the compensation packages awarded to its portfolio managers.
In fact, Putnam is even admitting how much money its trustees and regular employees have invested in the companys funds. In the SEC filing, it said that its 5,000 employees have $449 million invested, while its trustees have $40 million invested.