Adviser put third of 90-year-old's investment into Keydata

Laura Miller
clock

The FOS has ruled an IFA who put a third of a 90-year-old widow's money into Keydata while she was in a care home gave unsuitable advice.

FOS' adjudicator says the £44,000 investment in a Keydata Secure Income Plan, approximately 31% of the elderly widow's retirement fund, was not "sensible advice". He also rules the investment was unsuitable because the "arrangement is complex and sophisticated" , and the 90 year-old or her son who legally took advice on her behalf would have had "difficulty appreciating the risks involved in this arrangement". FOS recommends the unnamed IFA pay the woman compensation of her orignal investment, less any income received, plus compound interest at Bank base rate from the date of the inve...

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 Investment

FCA proposes 'targeted and proportionate' changes to listing rules for closed-ended funds

FCA proposes 'targeted and proportionate' changes to listing rules for closed-ended funds

Consultation runs into August

Michael Nelson
clock 26 June 2026 • 5 min read
Big games, big names… and smaller companies

Big games, big names… and smaller companies

'Brazil should be looking to the future rather than to the past'

Gabriel Sacks
clock 22 June 2026 • 4 min read
Why should investors back China in the worldwide robotics race?

Why should investors back China in the worldwide robotics race?

The race to identify Asia's hidden gems

Xin-Yao Ng
clock 19 June 2026 • 5 min read