Too Many Eggs in One Basket?

sneekymum

I manage Mother's money. While I have no financial qualifications I think I'm getting the hang of this (although this may be a delusion). Mother is a cantankerous old soul and will not let me have the help of an IFA. I've tried to engage one directly but as it is not my money and Mother won't cooperate the IFA didn't think this arrangement was really ethical.

Mother has suggested that she's uneasy about sending too much money to the same company - she thinks the £15,000 limit of National Savings Certificates should be applied across the board...

So I broke the rules and sent £38K to New Star Property (Because I couldn't be bothered to shop around, and she'd gone on a granny-trip somewhere - I'll look at other property funds too). Now I'm under closer scrutiny but am tempted by Artemis Strategic Bond Fund despite having sent their Income Fund £22K last week. I'm not asking anyone to recommend a particular product-

The question is...

Are there particular risks involved in buying too much from one Investment Company?

I presume they do not benefit from whatever compensation scheme covers the high-street names anyway - you know the one - I think it pays 90% of the first £30K if they go bust - however likely that is.

System

Your mother sounds as cantakerous as my mother - however my mothers criteria was quite plain..... Make a large amount of money without doing anything with her original investments which have all nosedived in recent years.

EdInvestor

Fund management companies have a higher amount covered by the FSCS if they go bust, it's around 40 or 50k from memory.

sneekymum

Thanks - I found it HERE - its £48K max on up to £50K losses