SIPP pension mis-sold?

Norfolk_Norris

Aegis wrote: »

Largely public relations, I imagine. There has been considerable outcry recently about some providers offering less restrictive access to non-mainstream products, so many SIPP companies are scrambling to appear as though they do more diligence than they are required to do.

Bear in mind that SIPPs in their truest sense are self invested options - it should be the client ultimately making the decision about where to invest, with the provider only offering a framework which allows access to permitted investments. Most SIPPs are operated by advisers on behalf of their clients, therefore the responsibility for sourcing and monitoring the investments should fall there more often than not.

Unless the SIPP provider also has an investment management arm or a research facility, they should probably spend most of their time running the pension and should avoid second-guessing the investment approach.



No more of a duty of care than any execution-only facilitators of purchases on someone else's behalf. Market makers of investments are another example of someone involved in an investment contract who would have no responsibility whatsoever for the suitability of that investment for the purchaser.

If the SIPP administrator became aware of problems with investments held on their platform, they should certainly report that to the IFA/client as soon as possible, but they shouldn't be required to actively look for such problems, as that would lead to a huge increase in annual fees for a duplication of service (the adviser is already supposed to do this for the client, after all).



The SIPP company are ultimately just the administrators of your pension assets. Their responsibility is to ensure that they hold accurate valuations of your portfolios and that you comply with HMRC regulations. They will reclaim basic rate tax on your behalf and report annually on contributions and payments to HMRC. They facilitate purchases and disposals. When you retire they provide the funds for either income drawdown or annuity purchase. Mostly that's it.



No idea, it strikes me as counter productive.



I think the analogy is flawed because you are putting the SIPP administrator into the wrong role. They are a facilitator and administrator rather than the actual platform used to deal. Most SIPPs would be more akin to the owner of the lot on which the car dealership is built: they provide the structure needed to make the rest of the operation work, but are a step removed from the actual business of buying and selling. The analogy fails slightly because the SIPP provider need to instruct the movement of your cash from one place to another, but I still think it's more accurate this way.

Thanks - put like that, it makes better sense.

IMO it appears the SIPP provider tried to close the stable door on a long ago bolted horse - whether this is frowned upon by the FOS remains to be seen...

Norfolk_Norris

So, now I'm getting phone messages from the IfA whose company The pension was transferred through saying 'we've had your complaint via FOS despite you saying you wouldn't " (which is bullshi*) - then says "we did reply via recorded delivery and have evidence you never picked it up from the post office depot" - again absolute rubbish, there's been no card to say I have a letter for collection. To top it all, this voice message is delivered in offish, aggressive manner - I get it, you don't like complaints, but hey, don't allow poxy advice through your company?! I really don't want verbal with this guy because I get the feeling he'll play the guilt 'we were collegues once' card, and possibly continue with the aggressive disassociation. I assume now the FOS has written, to him he has to reply to them and prove he did respond via recorded delivery? Am I right to maintain silence now? Advice anyone? Feeling extrememly f'd off now... Thanks muchly.

SiroGarmr

These issues are certainly never covered up, and the corrections to the client's finances are never botched. Pension companies certainly never have to hire in new admin firms in response to FSA outrage. Pension firms absolutely never spent millions fixing/shirking/denying endowment mis-selling, nor would they ever cover up for 80s IFAs proposing that financial boom could never end...

dunstonh

I assume now the FOS has written, to him he has to reply to them and prove he did respond via recorded delivery?

No. By starting your complaint via the FOS, all they do is record their interpretation of your complaint and send it on to the firm for them to deal with. An acknowledgement of the complaint to the FOS is normal but you cant do an end-run-around the complaints process by going to FOS first.

Am I right to maintain silence now?

They have to follow the FCA regulated complaints process. Log any calls you get with date, time, name and a summary of what was said. However, they should only be talking with you to go through the issues. That can be done via phone or post. If you feel you are being harassed then your log of calls and content will serve you well when you go to the FOS after the firm reject your complaint.

atush

Definitely make a full record of the message you just received, as it does seem very much out of order.

If you do not wish to speak to that person, you can write and ask that all further communication be either by letter, or ask they assign another member of staff to call you if they need some pertinent information.

I would not return the call you described, a letter is the way to go, referencing his comments and disputing his version of events (that you agreed to not go further, and that you received any recorded delivery post)

Norfolk_Norris

dunstonh wrote: »

No. By starting your complaint via the FOS, all they do is record their interpretation of your complaint and send it on to the firm for them to deal with. An acknowledgement of the complaint to the FOS is normal but you cant do an end-run-around the complaints process by going to FOS first.



They have to follow the FCA regulated complaints process. Log any calls you get with date, time, name and a summary of what was said. However, they should only be talking with you to go through the issues. That can be done via phone or post. If you feel you are being harassed then your log of calls and content will serve you well when you go to the FOS after the firm reject your complaint.

Thanks for the reply.


So I really need to know what their reply said (which I doubt they actually sent) - should I ask them to send it again?

Because I hadn't had a reply since October I escalated it to the FOS, now I'm not sure what happens now because they are saying they did reply within the timescales.

All I know is that he called back on October asking me to withdraw my complaint. I definitely haven't had any written response.

Thanks for the help.

atush

You can ask them to resend it, but I would also contact the FOS and say they did not send you a respense within the time limit.

dunstonh

Ask the FOS for advice. If the complaint is being handled by them, then they will log dates and information and that will cover you in case the firm are trying to pull a fast one.

EdGasket

doughnutmachine wrote: »

I'm so glad I don't have an IFA. I thought they were meant to make life easier.

Yes I'd rather lose my own money than pay someone else to do it.

dunstonh

EdGasket wrote: »

Yes I'd rather lose my own money than pay someone else to do it.

I guess you never go to a doctor either seeing as Harold Shipman was a murderer.