The Financial Ombudsman Service (FOS) has ordered St. James’s Place Wealth Management to pay two clients compensation following allegations the pair received unsuitable investment advice from the advice giant over the course of a decade.
According to the complaint, the initial advice they received, which was to invest £100,000 in an international investment bond (IIB), an offshore bond, was unsuitable and instead recommending they invest in a unit trust would have better advice. Mr R went on to invest a further £500,000 into the IIB over the next 12 months following the initial £100,000. The complainants, who sought advice from one of the firm's representatives in 2005, were not aware of the status of the ‘appointed representative' of the firm - SJP refers to its advisers as ‘partners' - who was not a direct employee ...
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