Alan Shearer resolves dispute with his Financial Adviser
Alan Shearer famously donned the striped shirt of Newcastle United. It appears, however that when it came to his pension, things were far from black and white.
Earlier this week Shearer reached a settlement with his former independent financial adviser and pension provider Suffolk Life. The terms of the settlement are not known.
Shearer alleged that he had received negligent advice in connection with a pension investment in British Virgin Islands fund Fortress International Fund Ltd. The claim was apparently valued at £9m.
As has been seen in the widely reported film tax deferral/avoidance scheme cases, being a celebrity or a high net worth individual does not necessarily mean that you are financially sophisticated. Such individuals are as reliant on the quality of their advisers as anyone else.
The Match of the Day pundit claimed that his adviser gave negligent advice and took advantage of his “limited knowledge or experience” of investing.
Under the rule 9.2 of the Conduct of Business Rules contained within the FCAs Handbook. A recommendation from an adviser to make an investment must be suitable for the client.
As part of the assessment of suitability, an adviser must not solely focus on whether the client has the ability to bear a loss. The assessment must also take into account the client’s understanding of the risks involved in the transaction with particular reference to their relevant knowledge and experience.
If you have suffered losses as a consequence of defective financial advice or services please contact Pradeep Oliver at firstname.lastname@example.org or call 01892 765453 for a no obligation consultation.