View more on these topics

Investment and pension FOS complaints on the rise

Investment and pension complaints referred to the Financial Ombudsman Service have risen significantly over the year despite strong stock market performance.

The FOS’ annual review shows in the year to 31 March, complaints about investment-linked products such as investment Isas and bonds rose 42 per cent from 3,308 to 4,697, while complaints about stockbroking and portfolio management increased 32 per cent from 1,842 to 2,428.

Pension complaints rose 27 per cent from 3,454 to 4,401, with income drawdown complaints doubling from 94 to 189.

The FOS says while stock markets have generally performed well, consumers may be reviewing their investment products as a result of wider economic concerns.

It says it continues to see a “significant number” of complaints where an investment was recommended which did not match the customer’s attitude to risk.

The FOS saw a wider range of investments being complained about in 2012/13 including life settlements, film partnership schemes and contracts for difference.

There were an increasing number of pension complaints about advice to remove funds from occupational pension schemes and invest in Sipps.

The FOS says these often involved investing in unregulated collective investment schemes, including investments in European shopping centres and Spanish property developments.

Complaints about mortgages also rose 25 per cent from 9,537 to 11,920. The FOS says many complaints could have been avoided if lenders had handled them better.

Hargreaves Lansdown head of advice Danny Cox says: “I am not surprised at the increase in investment complaints. It is easier than ever before to complain and there are lots of no win, no fee lawyers sticking their noses in.”

Investments and pensions FOS complaints chart
Investments and pensions FOS complaints key
Source: FOS annual review 2012/13



Huge gulf in fees paid by local authority pension funds

New research into local authority pension funds has found huge disparities in the fees paid to fund managers by individual councils, with some paying three times more than their counterparts. A Financial Times commissioned study by Investor Data Services found the top quarter of council pension funds with the most expensive fees paid four times […]


Rob Clifford: Help to Buy should broaden brokers options

To say the Help to Buy scheme has had a mixed welcome is a bit of an understatement. It has been described by some as the shot in the arm the market requires but feared by others as the unwelcome starting point of a UK housing bubble. Under the plan, the Treasury has committed £3.5bn […]

Rob Reid glasses 150

Robert Reid: Scale is not everything when it comes to pensions

As a child we holidayed on the Clyde coast and more often than not in a small town called Girvan – a place not noted for its high temperatures. In fact, our favoured beach had the moniker the cauld (cold) shore. It was only when we headed for Majorca many years later that I realised […]

ClearBridge plans Dublin mirror of Tactical Dividend Income fund

ClearBridge Investments is planning to launch a Dublin-domiciled version of the $322.3m ClearBridge Tactical Dividend Income fund, Money Marketing understands.  The fund will be managed by ClearBridge Investments managing director and portfolio manager Peter Vanderlee and fund manager Mark McAllister, who have managed the US-domiciled original since January 2012. ClearBridge, a wholly owned subsidiary of Legg Mason Asset […]

Developing your personal relationships – Webex

Read more 9amFinancial advisers and solicitors working together Presented by Ian Muirhead, director & chairman at Solicitors for Impartial Advice (SIFA) Listen to Ian’s expert insight and experiences of how financial advisers and solicitors can work together to deliver mutual benefit and enhanced client outcomes. Register here 10am Financial advisers and accountants working together Presented […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    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