SVS Securities - shut down?

kopedsa

Received my credentials letter yesterday.


Just adding a +1 to no discrepancies in my holdings.

Emperor2014

Same here. No discrepancies in my holdings. Have submitted my claim.

Finally feels like we're making some progress. Hopefully we'll soon have access to our investments

snipkin

Excellent - claim submitted! Rather a 'clunky' portal. My holdings agree with the statements for both my ISA and non-ISA accounts.
I was lead to understand that we would not get access to our accounts (via a new company still to be appointed) until possibly March or even April of 2020. Does anyone know anything different?

Jools2001

All 4 of our accounts, tallied up correctly,and all signed off.
lets just hope they get their !!!!!! in gear and allow us to start trading again,
well before April next year!

Here's hoping!!

johnburman

First - all accounts tally both as to assets and monies; and accepted ticking "yes"

I think we all accept- that is good news

Now responding to Masonic.

LC are agents for SVS. SVS has a duties to its clients, not least "treating clients fairly". I say that involves putting divident "" in an interest bearing account until distribution.

They have not done so

They are in breach of that duty. Clients have suffered a quntifiable loss as a result (to the interest lost). FSCS should pay that loss as compensation.

As to the duty, by analogy (could not find exact) :

Interest
14. Subject to Regulations 15 and 16, a firm must:
a. place clients' money in an interest-bearing account unless the interest earned
would not be material (see Explanatory Note 5 below); and
b. ensure that a fair rate of interest (see Explanatory Note 5 below) on the money is
earned; and
© ICAEW 2017 ICAEW Clients’ Money Regulations effective 1.1.2017 Page 6 of 13
c. ensure that all interest earned is paid or credited to the client, or as the client
instructs in writing.
Contained https://www.icaew.com/-/media/corporate/files/members/practice-centre/clients-money/clients-money-regulations-effective-1-january-2017.ashx

Further is it not *negligent* for LC to put the dividend monies in an ordinary bank account that does not earn interest?

Finally: as I have asked a number of times, who is the new broker chosen? And why have we not been told their name?

Monsieur_Bourse

Well here we go again. Can any non-UK residents confirm that they have received their letter containing the log-in code. To date neither my wife or I have received ours. I know the letters were only posted on the 27th November, but the way our envelopes were addressed for the generic letter starts to get me concerned, half the address was missing on both letters.

Has anybody used the helpline in relation to receiving the code, either the telephone or e-mail helpline? I sincerely hope that the helpline is better than the initial one that was set-up. I will leave it until Wednesday before I contact LC if our codes have not shown up.

Regarding the bar date, have I understood it correctly that if a claim has not been registered by 10th January, there is a good chance that we will not receive our shares or money held by the SVS?

masonic

johnburman wrote: »

LC are agents for SVS. SVS has a duties to its clients, not least "treating clients fairly".

It did before it went into Special Administration. At that point the Insolvency Act and Investment Bank Special Administration Regulations took over and trump FCA regulations.

I say that involves putting divident "" in an interest bearing account until distribution.

They have not done so

They are in breach of that duty. Clients have suffered a quntifiable loss as a result (to the interest lost). FSCS should pay that loss as compensation.

As to the duty, by analogy (could not find exact) :

Interest
14. Subject to Regulations 15 and 16, a firm must:
a. place clients' money in an interest-bearing account unless the interest earned
would not be material (see Explanatory Note 5 below); and
b. ensure that a fair rate of interest (see Explanatory Note 5 below) on the money is
earned; and
© ICAEW 2017 ICAEW Clients’ Money Regulations effective 1.1.2017 Page 6 of 13
c. ensure that all interest earned is paid or credited to the client, or as the client
instructs in writing.
Contained https://www.icaew.com/-/media/corporate/files/members/practice-centre/clients-money/clients-money-regulations-effective-1-january-2017.ashx

Further is it not *negligent* for LC to put the dividend monies in an ordinary bank account that does not earn interest?

If you believe LC has broken the rules of its professional membership organisation for not putting the money in an interest bearing account, then you should complain about LC to the ICAEW. I've reported a firm to the ICAEW in the past, it's very easy. If they agree with you they might take some action against LC. But this has nothing to do with the FSCS, unless the ICAEW have the power to award you compensation from LC and LC itself goes into administration.

I doubt it would come to it, but if LC did go bust before paying your compensation, it may or may not have FSCS cover: https://register.fca.org.uk/ShPo_FirmDetailsPage?id=0010X00004G1y2eQAB

The explanatory notes in the rules you linked state that if they were holding £1000 worth of your dividends for an expected period of 8 weeks, or £2000 of your dividends for an expected period of 4 weeks etc, then interest would be considered "material" and therefore efforts should be made to earn interest on the money. This pre-supposes that there are no reason why during a Special Administration, an interest bearing account would not be appropriate. So I suppose it really depends on whether you have hundreds of pounds in dividends sitting around for months.

Finally: as I have asked a number of times, who is the new broker chosen? And why have we not been told their name?

I don't know the answer to your question, but I would guess that negotiations with potential new brokers have not yet reached a conclusion.

samuzza

Well here we go again. Can any non-UK residents confirm that they have received their letter containing the log-in code.

Monsieur Bourse
Me and my partner also haven't received any letters yet.

LEAR1

samuzza wrote: »

Monsieur Bourse
Me and my partner also haven't received any letters yet.

Still awaiting ours too...

I called LC yesterday to enquire as to whether or not letters were going out in batches. They said not - all went out by first class post last Thursday.

The individual suggested to perhaps give it another day or two and, if still no sign by then, they could re-issue or even email the passcode through.

TBH, while I'd like access sooner than later, I'm not too concerned - prior letters indicated their records are in alignment with my own, and the long stop date is still some time away.

Monsieur_Bourse

Thank you both for your replies, in one way it is reassuring to know fellow no-UK residents have not received their letters yet. It sounds as if the helpline this time is actually able to help, especially with the suggestion of e-mailing the codes, that sounds like a better idea. I will contact them tomorrow if no letters have shown up.

Maybe relevant to the situation, I have ordered a package from the UK which will arrive recorded delivery, I have been tracking the package online, and it has taken 5 days to clear the UK, so if this is the same for letters being sent from the UK it would explain the delay. A letter from France to the UK always arrives within 2 days, so it would seem that the problem is the UK end.