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Tep firm Shepherds closes down

Boutique fund manager Shepherds (Financial) Limited has closed its London office and ceased trading.

Shepherds has also made its staff of 15-20 broker consultants and support staff redundant and is now five months overdue in filing its accounts, according to Companies House.

Shepherds chief executive Michael Abraham has returned to his Marbella home and the company’s website just lists a maildrop address in Brentford for correspondence. There is no contact phone number published but the company does promise to reply to any written queries within 10 working days.

This is a concern from advisers with clients invested in either the select funds, which invest in traded life policies or viaticals, or the group’s managed Tep portfolios.

Although its Tep business has made significant losses over the past two years, it has been the viatical funds that have crippled Shepherds. Most of the $40m assets in the select funds have been frozen by Florida receivers after MBC, the market-maker through which Shepherds bought 85 per cent of its life policies, was put into receivership. How much money investors will receive back is unclear.

A Shepherds spokesman says: “Shepherds has laid off everybody, shut its London office and it is fair to say it is no longer trading.”

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