FSCS: Refusing Lifemark rescue won't hit bondholder claims

Laura Miller
clock

The FSCS has denied claims Lifemark investors will forfeit their rights to compensation if they reject a planned rescue deal for the fund.

Former Lifemark director Stewart Ford says PwC is warning bondholders they could be denied compensation because, by refusing the rescue loan, they have not done everything to mitigate their losses. Bondholders are due to vote in February on the loan for Keydata-backer Lifemark, which is being developed by CarVal and Norwich & Peterborough Building Society (N&P), and brokered by PwC. Ford says: "This puts bondholders in a Catch 22 situation, faced with having to accept the rescue deal proposed, no matter how unfavourable it may be." But an FSCS spokesperson has denied the claim, s...

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

PA360: 'Diversified approach has room for both active and passive' - David Coombs

PA360: 'Diversified approach has room for both active and passive' - David Coombs

‘Volatility is your friend if you are a long-term investor’

Jenna Brown
clock 01 May 2025 • 2 min read
PA360: FOMO can 'significantly' alter investors' risk appetite

PA360: FOMO can 'significantly' alter investors' risk appetite

Albemarle Street Partners’ Charlie Parker on the social element of investing

Isabel Baxter
clock 01 May 2025 • 1 min read
PA360: Investors must understand importance of 'proper diversification'

PA360: Investors must understand importance of 'proper diversification'

‘Investors don’t have to choose a single door’

Sahar Nazir
clock 01 May 2025 • 1 min read