Hundreds of thousands of people have been convinced to invest their pension pot with the promise of High Performing Investments and Guaranteed Returns, in reality these turned out to be high-risk unsustainable schemes.
Due care and attention replaced with carelessness by regulated administrators
Self-Invested Personal Pensions (SIPP), used correctly can be a great tool for people to build their retirement nest egg. The problem is that some administrators used unregulated companies and didn’t do their background checks on what they were allowing people to invest in. The SIPP administrators who allowed people access to investment schemes like Ethical Forestry, Global Plantations and InvestUS have turned a tidy profit from customers fees alone. They were making money while most people lost theirs after the high returns they were promised never happened.
Some of the SIPP providers responsible for mis-selling include:
- Guinness Mahon
- Berkeley Burke
- The Lifetime SIPP Company
- Carey Pensions
- Greyfriars Asset Management
- Liberty SIPP
Mis-sold SIPPs have become the subject of an increasing number of complaints made to the Financial Ombudsman Service (FOS) and the Financial Services Compensation Scheme (FSCS). The good news is that after landmark litigation and regulation intervention more and more people have access to regaining some, or in some cases all of their lost investment!