NDFA and DRL priority to confirm investor money ring-fenced

clock

The administrators of structured product providers NDFA and DRL say their priority is to confirm investor funds have been segregated from the firms' business accounts.

Grant Thornton is currently reviewing the firms' finances and although it believes from the limited information it has received that client money has been segregated, futher confirmation is needed. The providers went into administration today as they were unable to meet their liabilities for potential compensation claims for Lehman-backed structured plans. Around 35,000 customers will be affected, although only around 10% of these are invested in Lehman-backed products. While investigations are underway, investor cheques will not be banked. Investors will also be unable to redeem t...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Structured Products

Exploring the options for downside protection in a bear market

Exploring the options for downside protection in a bear market

Making the case for diversification through structured products

David Wood
clock 04 January 2023 • 5 min read

Structured product returns fall in 2020 despite continued success

Almost three-quarters generated positive returns

David Brenchley
clock 26 January 2021 • 2 min read

Structured product performance analysis tool launched for advisers

Free for advisers

clock 02 March 2020 • 2 min read