View more on these topics

FSCS Honister Capital payout hits £550k

Honister-Logo-480.jpg

The Financial Services Compensation Scheme has paid out over £550,000 to date to investors affected by the collapse of Honister Capital.

The FSCS declared Honister Capital in default last month, including Burns Anderson, Sage and Honister Partners, part of the Honister Capital group. Claimants were asked to resubmit their claims following the default, including those who had previously had their claims rejected.

To date, the FSCS has received 300 claims against Burns Anderson, Sage and Honister Partners. Of these, there have been over 150 claims decisions with payouts totalling over £550,000.

Honister went into administration in July, leaving around 900 advisers unable to trade. The firm collapsed after it failed to secure professional indemnity insurance and was left with an uninsured £6m claim against Burns Anderson.

Administrators Grant Thornton have previously said that Honister appointed representatives recommended unregulated collective investment schemes to clients. Clients who believe they were missold have been told to contact the FSCS.

In October, Grant Thornton revealed there was a £4.6m shortfall between Honister’s assets and the money it owes to creditors. Among the creditors is software provider Intelliflo, which was owed over £1.1m in relation to an unexpired contract.

Page Russell director Tim Page says: “A payout of half a million pounds does not seem to reflect a collapse the size of Honister, but there may be more to come. The figures may also be flattered by capped liabilities from earlier on in the business’s history.”

Recommended

Axa Elevate parent posts £30m loss

Axa Portfolio Services, the parent company of the Axa Elevate platform, has posted a £30m pre-tax loss for 2012 after spending £12.7m on platform development. APS is also the parent company of Axa’s direct platform, Axa Self Investor, and administrates Axa’s pension schemes and Isas. The losses are a slight improvement on 2011 when the […]

9

David Harrison: PosSol should ‘show a bit of humility’

Positive Solutions founder David Harrison has hit out at the current management team for criticising the work of their predecessors.   Harrison launched PosSol in 1997 with staff and management selling a 60 per cent stake to Aegon in 2002 and remainder to the provider in 2005, valuing the business at £163m. Harrison then set up technology firm […]

1

Santander multi-managers consider bonds

Santander’s multi-manager team is turning its eye to the bond market for investment opportunities as it reassesses its position on equities. 
Toby Vaughan and Tom Caddick, who run some £8bn for the firm including the £510.8m Santander Max 70% Shares Portfolio, have maintained an overweight to equities across their funds but plan to take another look […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com