Fre PLC bonds? scam or real?

jgn

freplc .co .uk- this is their website,

The website above have approached my 79YO Mom and asked if she would like to invest over the phone, My Mom is a social talker and lives alone so often is more than happy to engage in a conversation as she often feels lonely now my Dad has past away, My Mom has never handled the money before it was traditionally done by my Dad.

So after what seems to be a lovely friendly chat my mom has agreed (in principle, she has not signed nor handed over any cash) to take out a three year bond with this company, but i asked her who it was and looked them up, they don't seem to be accredited with any financial association or anything to that matter?

Should anyone know if this is trustworthy or if my Mom should steer clear as she hasn't got money to lose unfortunately? if anyone could help i'd be more than appreciative.

Many thanks J

username12345678

Looking at the opening 'Disclaimer Agreement' on the website...

Any marketing promotion for this product is specifically not directed to clients in the UK other than Exempt Investors and Self-Certified Restricted, High Net Worth or Sophisticated Investors.

These risks include capital loss , dilution of shareholder value, that dividends will not be declared, and illiquidity risk due to the absence of a viable secondary market for a particular product.

Therefore any investment should only be made after seeking the advice of an appropriately authorised or regulated financial advisor.

I guess the questions could be...

1. Is your mum a high net worth sophisticated investor?

2. Is she prepared to lose her money if the investment doesn't go to plan?

3. Is she planning to get advice from a regulated financial advisor before proceeding?


If the answer to all 3 questions is 'Yes' then it may well be an appropriate investment for her. It isn't a scam but I don't think it would be unfair to call it a niche opportunity.

ColdIron

Future Renewables Eco plc trading as freplc.co.uk is not directly authorised or regulated by the Financial Conduct Authority

Any marketing promotion for this product is specifically not directed to clients in the UK other than Exempt Investors and Self-Certified Restricted, High Net Worth or Sophisticated Investors.

Cold called by someone pushing unregulated mini-bonds? Is your mum a High Net Worth or Sophisticated Investor?

Ask yourself

Zanderman

jgn wrote: »

... have approached my 79YO Mom and asked if she would like to invest over the phone...

An unsolicited phone call targeting a lonely elderly lady to invest in a previously unknown company?

And you ask whether it's a good idea?

Answer, almost certainly, is NO - and get your mum a system to block unknown numbers.

dunstonh

he website above have approached my 79YO Mom and asked if she would like to invest over the phone,

Cold calling of investments does not happen from genuine investment companies offering their products to UK consumers.

You can assume that any cold call you get regarding investments, pensions or other financial products are a scam.

So after what seems to be a lovely friendly chat my mom has agreed (in principle, she has not signed nor handed over any cash) to take out a three year bond with this company, but i asked her who it was and looked them up, they don't seem to be accredited with any financial association or anything to that matter?

So, when it goes bump in the night and they fail to repay her money, there will be no consumer protection and she wont get anything back.

Should anyone know if this is trustworthy

I think this answers itself.

1 - its a cold call - never act on cold calls. Most are scams or dodgy. no genuine firm does it.
2 - they are unlawfully marketing the investment in breach of UK regulations.
3 - They are not regulated and there is no FSCS protection and its a 100% risk of loss investment.
4 - it is not a retail financial product. (i.e. not meant for retail consumers such as mums who do not have much money).

Reaper

This was discussed before - different web site but the same company
https://forums.moneysavingexpert.com/discussion/comment/71314875#Comment_71314875