SVS Securities PLC

2018 Investigation

SVS Securities were put into administration in November 2018 following an investigation by the FCA into the questionable conduct of the company. The FCA found that SVS securities were promoting high-risk bonds to retail investors, overvaluing illiquid assets and failing to carry out appropriate due diligence.

On top of this, SVS Securities were also found to have questionable commission arrangements charging up to 1/5 of the investment value whilst also receiving up to 10% in commission from the bond issuers.

Incentivised Investment Recommendations

More concerning still, some of the investments within the SVS model portfolio had the Directors of SVS Securities as Shareholders of the investment which essentially meant that the Directors were financially incentivised to recommend the investment as they received a commission from the client, as well as a commission from the bond issuer, and then also had an entitlement to a share in the profits of the investment in their capacity as a Shareholder.

With this mind, it is not surprising that the FCA questioned how SVS Securities could be acting in their client’s best interests and made the decision to prohibit them from doing any new business.

It was this prohibition that lead to the appointment of administrators in August 2019.

Further reading

SVS Securities Goes into Administration – Could You Claim?

If you had an account with SVS Securities, then the likelihood is that you will have lost money and could be entitled to compensation.

On the 1st November 2019 the Financial Services Compensation Scheme (“FSCS”) announced that it would be opening an investigation into SVS Securities. In the latest update the FSCS have confirmed that where applicable they would be able to compensate investors for their losses.

Lost your Investment with SVS Securities?

If you believe that you have lost money as a consequence, you should contact Oakwood Solicitors Ltd for free for your no-obligation consultation whereby we will review your claim and advise you on whether you are entitled to compensation.

Here is a timeline of the SVS Securities investigation:

As the investment claim is being made against the FSCS then we would expect the claim to be concluded within 6 months.

As each case is unique it is difficult to provide a generic timeframe for conclusion of the claim however Oakwood Solicitors will give you an indication of how long your claim is likely to take to conclude as part of our initial review.

We operate on a Damages Based Agreement (“DBA”) more commonly known as a ‘no-win, no-fee’ agreement. If we fail to secure you a settlement, you will not be charged.

We cannot provide an exact figure for how much compensation you will receive until we understand more about your claim.

The general purpose of a claim is to put you back in the position you would have been in, had you not received the negligent pension advice.

As your investment claim is against the FSCS then the compensation cap is £85,000.00 per person, per advisor.