SVS Securities - shut down? 3 August 2019 at 6:05AM edited 3 August 2019 at 6:12AM in Savings & Investments 5.6K replies 344.8K views

johnburman

Also wonder what quality control the FCA is imposing on them... If any,,!

manorhouse

Thanks for reply to make things clear that was a buy order on a T2.
Which must of been on the advisory acc.?
Execution only ac had to be pre-funded.
If you had money on acc , it looks to me like trade executed if the shares were added to your portfolio

Reaper

johnburman wrote: »

When this is all cleared up... Its been almost 6 weeks since LC were appointed and I hope things have been going on behind the scenes as apart from terrible comms with clients their secrecy matches North Korea.

I think you have to adjust your expectations. I believe with a normal administration the administrator has to report back on progress after 6 months (not 6 weeks!). I don't know the rules for a special administration but I expect it is similar.

PS Though there should be proposals and a creditors meeting before then

johnburman

Special is 2 months here. But explain to me the reason why the comms from LC are so bad non existant,?

Reaper

I think because they can't give you the definitive answers you want.

For example you might well want them to say the XO clients will be sold to another company and you will regain access BUT...
1) They need to find a willing buyer
2) They need to first determine whether their fees will be deducted equally from all customers including XO clients (quite likely). If so that could take a long time as the amount of fees will depend on all the work they need to do in the non-XO areas where multiple allegations have been made.
3) They need to establish that the FSCS will cover those fees.
4) They need to establish whether the FSCS will refund investors individually after they have made deductions or (more likely) the FSCS will pay up front and prevent the need for deductions at all.
5) They need to establish their fees will not exceed the FSCS limits (I should certainly hope not!)

The above is speculation but not unreasonable. So they can't just issue a statement saying all XO clients will get their money back however likely that is until it is 100% certain

manorhouse

I came across this site wile searching for a replacement broker.
lots of basic information.
might be good investment idea if they do sell shares and pay out in cash .
https://www.reitly.io

bowlhead99

manorhouse wrote: »

I came across this site wile searching for a replacement broker.
lots of basic information.
might be good investment idea if they do sell shares and pay out in cash .
https://www.[xxxxx].io

There are hundreds of websites offering investment information, some of which are regulated by the FCA and offer brokerage services or investment advise etc.

However, I would suggest that one of the very *last* (rather than first) places that should be visited by an investor who has been burned by bad advice from SVS, or been caught up in the uncertainty of an inaccessible account and potential administrative or investment loss, would be the place you mention.

A website created by a couple of friends from their home less than a year ago which has a bold ambition to 'democratise investment' by promoting real estate investment trusts as somehow being better than shares in other types of businesses or investment funds (with clumsy grammatical errors) and offering limited research.

reitly wrote:

If you're considering equity investment and new to it - consider a REIT, historically they have outperformed equities. They own properties, which is much simpler to understand then the business of some other equities

You can invest in these from as little as under £1, select and understand their performance and investments with us, all in one place.

If you are a naive or unlucky investor caught out by the SVS debacle I can't see that your life will become measurably better by using that site to learn about REITs.

As the site owners say, they want to create a fairer, democratic and accessible society, so they are going to kick that off by launching a website promoting REITs and if it doesn't work out they'll go and open a beach bar or something.

"I was struggling to save a deposit for a flat, but now with Reitly I can grow my savings to make my plans a reality"

Ooh great, if I ever get my money out of SVS I should try them next! *

* Not really, I don't have any money in SVS fortunately ; and they don't have any particular credibility in investor education or some magic investment technique, or an FCA regulated investment business. Do I want to give them my info for a newsletter sign-up to 'monitor' the prices of some REITs? God no.

Reaper

bowlhead99 wrote: »

so they are going to kick that off by launching a website promoting REITs and if it doesn't work out they'll go and open a beach bar or something.

lol, I thought you were joking when you said that but it really is on their web site.

Their web site is very cut price. Their core video explaining what they do is very low res and has a large watermark on it. Why? Because they are using the free online "try before you buy" version of the video creation software.

I can't see anything saying these guys have any financial experience.

masonic

ascension92 wrote: »

I placed an order/trade on the afternoon 1 aug, my share holding in my XO account increased by the required trade amount. I seem to think I have read that SVS were able to clear their own trades, whether they could do this in the timescale before being closed down, I would not have thought so. Reading LC's FAQ's 15 Aug, I and people like me are "in default" and should be hearing from LSE. Just wondered if anyone in same situation had heard anything. Then when this is all cleared up I will know if I am chasing shares or cash

If the deal was executed, then it is likely such deals are settled as part of the Special Administrators' obligation to minimise disruption to financial markets. Someone on the other side of that trade would otherwise have experienced a failure of their order and there may be many such orders between execution and settlement.

Clairabella

Please can someone tell me if my money is protected at the value on the day of administration or will I receive what the shares are worth when this is finally all sorted?