Anavex Life Sciences Corp (AVXL)

[ignatiusrielly35]

There are other considerations as to who gets to be the lead plaintiff other than size of position. Many don’t want even want to be the lead because of the stress, publicity, work burden, etc. Multiple law firms will take whomever they can get, in a rush to file first. Then the judge basically decides, based on the law firms’ experience and other factors.

You are correct, though, that the settlement (or judgment) alotted to the lead plaintiff is proportional to the other class members’ damages.