Several pension funds are claiming victory in a lawsuit originally filed nearly a decade ago over alleged losses suffered from mortgage-backed securities investments.

A number of worker pension funds, including lead plaintiff the New Jersey Carpenters Health Fund, filed a complaint in 2008 against NovaStar Mortgage Inc.

The plaintiffs claim they were misled into believing that the MBS they bought, which were filled with subprime home loans, were safer than they actually were.

Source: Mortgage Daily