Consumers could be in line for compensation, as the UK Financial Services Compensation Scheme (FSCS) has declares 12 firms in default, including FX and CFD broker AFX Markets.
People who have dealt with any of the 12 financial services firms declared in default in August and September 2021, and believe they are owed money as a result, can now make a claim to the FSCS.
This service, which is free to consumers, protects money held in bank, building society and credit union accounts. It also protects pensions, insurance, investments, mortgage advice and arranging, and debt management.
Sarah Marin, Chief Customer Officer at FSCS, said:
“Compensation may be available if people have suffered losses due to the failure of a financial services firm. We are a free and independent service and customers can claim directly from us. By claiming directly through FSCS, customers pay no fees and get 100 per cent of the compensation that they are owed”.
Those willing to make a claim with FSCS against any of the 12 firms listed below are advised to visit the claims portal.
Declarations by FSCS from 1 August to 30 September 2021
- Advicelite Ltd, trading as (t/a) Investorlite, Isalite, Pension & Investor Lite (FRN 464011), Denby House, Stafford Court, Stafford Park, Telford, Shropshire TF3 3BD.
- AFX Markets Ltd, t/a STO, Quantic Prime, tradealot, XSecurities, eloFX (FRN 560872), 33 Sun Street, Second Floor, London EC2M 2PY.
- BPI 55 Ltd, formerly Broadstone Pensions & Investments Ltd, BDO Investment Management Ltd (FRN 118291), 55 Baker Street, London W1U 7EU.
- City of London Markets Ltd, t/a Berkeley Capital (FRN 595844), 1 Royal Exchange, London EC3V 3DG.
- Omada Investment Management Ltd, t/a T/A Fairfax Investment Management Ltd (FRN 468801), 2 Harewood Place, London W1S 1BX.
- Thomson Brown Financial Management Ltd, t/a Audley Asset Management (FRN 474874), Annfield House, 1 Eskbank Toll, Eskbank, Midlothian EH22 3DY.
- CFP Management Ltd (FRN 571695), 79 Caroline Street, Birmingham, West Midlands B3 1UP.
- Clear Capital Management LLP, t/a Clear Advice, Kalis Capital LLP (FRN 598743), Mailbox 10, Unit 1, Lewis Industrial Estate, Radford Road, Nottingham, Nottinghamshire NG7 7NQ.
- Coniston Wealth Management Ltd, t/a Lighthouse (Coniston) Ltd (FRN 400512), 119 Nayland Road, Mile End, Colchester, Essex CO4 5EW.
- David Meek Ltd, t/a David Meek Daewoo, David Meek Group, David Meek Proton (FRN 310312), Barton Hill Road, Torquay, Devon TQ2 8HN.
- S. Financial Advice Service Ltd (FRN 401098), 8 Bridgeton Cross, Glasgow, Lanarkshire G40 1BW.
- Rock Financial Consultants 2002 Ltd (FRN 400096), 8 Cwrt-Ucha Terrace, Port Talbot, West Glamorgan SA13 1LD.
AFX Markets Ltd, trading as STO, Quantic Prime, tradealot, XSecurities, eloFX, is an online Forex and CFD broker and was placed in Special Administration following a court application made by the FCA on 27 August 2019. At the hearing, Jonathan Avery-Gee and Daniel Richardson of CG Recovery were appointed Special Administrators of AFX by the High Court of Justice of England and Wales.
The FCA made the court application because of concerns that AFX was unable (or likely to be unable) to pay its debts. Also, special administration would protect client money, and help return that money to clients as soon as possible.
A previous court action by the FCA (on 31 July) froze all AFX’s assets and required AFX to stop any regulated activity, except to close all open positions. The FCA took this action because of concerns about AFX’s financial position and its arrangements for safeguarding client money.
In March 2021, FSCS said it had completed its initial review of AFX Markets Ltd. FSCS concluded that customers may be able to receive compensation from FSCS regarding the losses suffered.