Stockbroker Fyshe Horton Finney has entered special administration on the grounds that it is unlikely to be able to pay its debts.
FHF is a small investment firm offering discretionary, advisory and execution-only business across 15 regional offices.
An FSA announcement last week confirmed Harrisons Business Recovery & Insolvency has been appointed as administrator. Paul Boyle and David Clements from Harrisons have taken up a joint administrator role.
This is only the fourth time a firm has entered special administration under the regime, which was introduced in February 2011 to ensure client assets are returned as early as possible, there is timely engagement with market infrastructure bodies and the authorities and firms are rescued or wound it up in the best interests of creditors.
The special administrator can direct suppliers to continue to provide services to the business to facilitate an orderly resolution.
The FSA is instructing clients of FHF to contact the administrators.
Evolve Financial Planning director Jason Witcombe says: “The old school, stuffy stockbroker model is a thing of the past. It is an out of date approach to investment that just does not work.
“It is so easy to trade online, I do not think there are many people willing to pay expensive stockbroking fees for something they can do themselves for next to nothing.”