The Sixth Circuit has joined a majority of the other circuit courts in recognizing that loss causation can be shown through a “materialization of the risk” theory,” reversing the dismissal of a case against Freddie Mac stemming from the 2007 mortgage crisis.

In Ohio Public Employees Retirement Sys. v. Federal Home Loan Mortgage Corp. (“Freddie

In Doshi v. Gen’l Cable Corp., ___ F.3d ___, 2016 WL 2991006 (6th Cir. May 24, 2016), the Sixth Circuit affirmed a district court order dismissing a securities fraud class action against a company and two of its executives, on the grounds that the complaint failed to plead facts sufficient to create a strong