Financial advice firm Economic Financial Solutions IFA, which also went by the name of Torch Wealth Management, is set to pay a client compensation over SIPP pension advice.
The Financial Ombudsman Service decided that Mr M’s complaint should be upheld, after he said he had suffered “severe financial losses” as a result of Torch Wealth Management’s advice.
What did Torch Wealth Management do?
Even though Mr M was self-employed earning a gross earnings of around £18,000 per year, Torch Wealth Management decided that he should reinvest his £95,000 pension in an “Aggressive Model Portfolio” of investments.
But in the following months, concerns were raised about the investments made within the portfolio.
Torch said that the investments made by the broker “bore no reassemble” to the type of investment which Torch had recommended, but the Ombudsman said that the firm should pay Mr M redress that would put him back in the position he was in before he received pension advice.
Have you moved to a SIPP pension?
Thousands have been told they’d be better off by moving to a SIPP, only to end up invested in high-risk products that may (and often do) lose them money.
To find out if you can claim for redress, you can have a free chat with one of our experience case assessors. No obligation, just a check to see if you can make a claim on a No Win – No Fee* basis.