“In summary, I don’t think either pieces of advice given in 2018 to Mrs P were suitable,” Smith said.
“The initial switch saw her portfolio carry more risk than she was willing to take.
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“I also think the second switch meant her portfolio was too exposed to the WEIF and lacked diversification.”
The Fos ordered Asam to pay Mrs P £300 for the stress caused when she realised the losses she had occurred, as well as compensation for the investments.
Asam should calculate the compensation through a combination of the FTSE UK Private Investors Income Total Return Index and the average rate from fixed rate bonds.
sally.hickey@ft.com
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