Have you suffered a financial loss due to mismanagement of your Offshore portfolio or policy?

Our Complaints Resolution Service may be able to assist you in gaining financial compensation

No win = No cost

Our Complaints Resolution Service has been successful in obtaining financial compensation for clients that have suffered financial losses due to the actions of Offshore Life Companies, Investment Platform providers, Pension Trustees, Discretionary Fund Managers and regulated Financial Adviser firms.

I would like to think that the majority of people involved in the financial and wealth management industry are honest, trustworthy people that are trying to help their individual clients reach their financial goals and objectives.

However, I am not that naïve to dismiss the fact that, be it just a small percentage of industry participants, that there are some with different motives for being in the industry, such as having the sole purpose of making as much money as they can, as quickly as the can, with no care or responsibilities of their actions on their clients financial situation…….. Unfortunately, I have witnessed this first hand and this was one of the driving forces for me in setting up Ethical Offshore Investments.

While a lot of the negative issues experienced by investors in the offshore industry is the result of those so called ‘Commission Cowboys’, there will be occasions where a client has been financially disadvantaged due to negligence or incompetence from the actions of a corporate entity, such as a Life Company, Pension Trustee, Discretionary Fund Manager or a financial advising firm.

This could be for example:

• Incorrect or lack of disclosure of fees, charges and potential exit penalties
• Inappropriate investments (too risky, lack of liquidity, lock in periods, lack of diversification)
• Processing errors resulting in delays for payments
• Unauthorised transactions

A lot of clients that have invested in Offshore type investment structures and investment schemes are not aware of their rights to lodge an official complaint and depending on the complaint (& the participants), lodging an application with a regulator for financial compensation.

So how does Ethical Offshore Investments assist with this…?

First off, we obviously listen to the complainant about what has occurred & how they believe that the actions that were taken resulted in a financial loss.

We will then request relevant information from the product provider(s) involved (with clients consent of course) and will review the actions or transactions that took place. Taking into consideration the location (where the advice/service was provided as well as country of residence of the client) as well as the location of where the responsible entity is located, we can then provide guidance on what course of action the client can take.

Just because a client may be living in Thailand for example and received advice/services from an unregulated firm, doesn’t mean that there isn’t anything that can be done…….. if the product that the complaint is referring to is from a recognised offshore Life Company (without naming names, but they generally are the ones based in the Isle of Man, Guernsey, Jersey, Mauritius or the Cayman Islands) then there is an official complaints procedure that these companies must all adhere to, as directed by the local regulatory body to maintain their relevant licensing and registrations.

First step is to approach the relevant company with full details of the complaint & documented proof of how the actions caused the client to be financially disadvantaged. In many situations, where it is a clear-cut case of where the actions of the Life Company / Product Provider did result in a financial loss, the Life Company will deal with it internally & offer a compensation pay out directly to the client.

If the Life Company / Product Provider disputes the allegations made and does not agree to compensation, the next step is approaching the relevant Financial Regulator for that particular provider.

• United Kingdom – Financial Conduct Authority (FCA) UK
• Isle of Man – Isle of Man Financial Services Authority
• Guernsey – Guernsey Financial Services Commission
• Cayman Islands – Cayman Islands Monetary Authority
• Mauritius – The Financial Services Commission Mauritius
• Labuan – Labuan Financial Services Authority

We then provide the regulator all of the relevant information for them to asses and determine an appropriate financial outcome for the client. As part of our service, we continue to liaise with the Regulator & the client on the progress, as well as providing additional information as requested by the regulator.

Recent Compensation Success

During 2025, we successfully arranged for the combined refund of GBP 1,818 back to 4 different clients, where a Discretionary Fund Manager located in the UK, along with an Isle of Man Life Company, overcharged fees for their services. A further GBP 855 has been refunded to another client so far in 2026.

2025 also saw us negotiate for a client the full surrender of a Savings Plan policy, without incurring the early surrender fee. We took this action for the client as we strongly believed that the Isle of Man Life Company that issued the policy, was not meeting their obligations as part of the plans Terms & Conditions.

This saved the client $ 6,689 in penalty costs. The client transferred the proceeds to an Offshore Platform and not only did this result in more flexibility with investment choices, it is also saving the client a further +2%pa in other charges…… so now, more of the investment growth stays in his pockets. 

The final successful compensation in 2025 was a $370 compensation payment made for incorrect processing of contributions to an Isle of Man Life Company savings plan policy.      

Previous years, we have been able to achieve the following compensation results for clients:

• GBP 15,000 – incorrect processing of a withdrawal by an Isle of Man Life Company for a savings plan
• GBP 12,000 – incorrect processing of an asset transfer by an Isle of Man Life Company for an offshore portfolio bond
• GBP 10,031 – inappropriate investments allowed to be made by a Malta Pension Trustee Company
• GBP   3,871 – incorrect processing of a surrender request by a Guernsey Life Company savings plan
• USD   8,000 – incorrect processing of an asset transfer by a UK regulated Discretionary Fund Manager

There have been many other successful smaller claims where fees have been waived and or reimbursed to clients.

How much does this service cost..?

First off, this is a No Win = No Pay service. If after we have reviewed your complaint situation and agree that there is a case to be made, we will prepare all of the documentation required and lodge it with the relevant Life Company and following that, with the regulator. At this stage, the client pays Ethical Offshore Investments nothing..!!

If the complaint comes back unsuccessful (after appeals made to the regulator or tribunal), there is no cost to the client. So in other words, if we take on the case, we must strongly believe that there is a good chance of success…….

The cost to the client for when a compensation case is successful is dependent on a few different factors. The absolute maximum cost would be 20% of the net compensation amount received. And this is only payable once the compensation amount has been received.

However, this cost may in fact be lower depending on the actual amount of work we provided for the compensation as well as what business relationship that we have with the client. In some cases, the complaints resolution service can be part of the on-going client management service we are already providing  and as such, there is no further costs to pay…… irrespective of the compensation amount awarded.

If you feel that due to the actions of a previous advising firm, product provider or investment manager has resulted in you being financially disadvantaged, please click on the Request Information button below and provide some details, including how we can contact you, and we can confidentially discuss what is an appropriate course of action for you take.

Socially Responsible Investing using Ethical Business Standards.

The post Complaint Resolution Service first appeared on Ethical Offshore Investments.

The post Complaint Resolution Service appeared first on Ethical Offshore Investments.

Have you suffered a financial loss due to mismanagement of your Offshore portfolio or policy?

Our Complaints Resolution Service may be able to assist you in gaining financial compensation

No win = No cost

Our Complaints Resolution Service has been successful in obtaining financial compensation for clients that have suffered financial losses due to the actions of Offshore Life Companies, Investment Platform providers, Pension Trustees, Discretionary Fund Managers and regulated Financial Adviser firms.

I would like to think that the majority of people involved in the financial and wealth management industry are honest, trustworthy people that are trying to help their individual clients reach their financial goals and objectives.

However, I am not that naïve to dismiss the fact that, be it just a small percentage of industry participants, that there are some with different motives for being in the industry, such as having the sole purpose of making as much money as they can, as quickly as the can, with no care or responsibilities of their actions on their clients financial situation…….. Unfortunately, I have witnessed this first hand and this was one of the driving forces for me in setting up Ethical Offshore Investments.

While a lot of the negative issues experienced by investors in the offshore industry is the result of those so called ‘Commission Cowboys’, there will be occasions where a client has been financially disadvantaged due to negligence or incompetence from the actions of a corporate entity, such as a Life Company, Pension Trustee, Discretionary Fund Manager or a financial advising firm.

This could be for example:

• Incorrect or lack of disclosure of fees, charges and potential exit penalties
• Inappropriate investments (too risky, lack of liquidity, lock in periods, lack of diversification)
• Processing errors resulting in delays for payments
• Unauthorised transactions

A lot of clients that have invested in Offshore type investment structures and investment schemes are not aware of their rights to lodge an official complaint and depending on the complaint (& the participants), lodging an application with a regulator for financial compensation.

So how does Ethical Offshore Investments assist with this…?

First off, we obviously listen to the complainant about what has occurred & how they believe that the actions that were taken resulted in a financial loss.

We will then request relevant information from the product provider(s) involved (with clients consent of course) and will review the actions or transactions that took place. Taking into consideration the location (where the advice/service was provided as well as country of residence of the client) as well as the location of where the responsible entity is located, we can then provide guidance on what course of action the client can take.

Just because a client may be living in Thailand for example and received advice/services from an unregulated firm, doesn’t mean that there isn’t anything that can be done…….. if the product that the complaint is referring to is from a recognised offshore Life Company (without naming names, but they generally are the ones based in the Isle of Man, Guernsey, Jersey, Mauritius or the Cayman Islands) then there is an official complaints procedure that these companies must all adhere to, as directed by the local regulatory body to maintain their relevant licensing and registrations.

First step is to approach the relevant company with full details of the complaint & documented proof of how the actions caused the client to be financially disadvantaged. In many situations, where it is a clear-cut case of where the actions of the Life Company / Product Provider did result in a financial loss, the Life Company will deal with it internally & offer a compensation pay out directly to the client.

If the Life Company / Product Provider disputes the allegations made and does not agree to compensation, the next step is approaching the relevant Financial Regulator for that particular provider.

• United Kingdom – Financial Conduct Authority (FCA) UK
• Isle of Man – Isle of Man Financial Services Authority
• Guernsey – Guernsey Financial Services Commission
• Cayman Islands – Cayman Islands Monetary Authority
• Mauritius – The Financial Services Commission Mauritius
• Labuan – Labuan Financial Services Authority

We then provide the regulator all of the relevant information for them to asses and determine an appropriate financial outcome for the client. As part of our service, we continue to liaise with the Regulator & the client on the progress, as well as providing additional information as requested by the regulator.

Recent Compensation Success

Over the past few years, we have been able to achieve the following compensation results for clients:

• GBP 15,000 – incorrect processing of a withdrawal by an Isle of Man Life Company for a savings plan
• GBP 12,000 – incorrect processing of an asset transfer by an Isle of Man Life Company for an offshore portfolio bond
• GBP 10,031 – inappropriate investments allowed to be made by a Malta Pension Trustee Company
• GBP   3,871 – incorrect processing of a surrender request by a Guernsey Life Company savings plan
• US $ 8,000 – incorrect processing of an asset transfer by a UK regulated Discretionary Fund Manager

There have been many other successful smaller claims where fees have been waived and or reimbursed to clients.

How much does this service cost..?

First off, this is a No Win = No Pay service. If after we have reviewed your complaint situation and agree that there is a case to be made, we will prepare all of the documentation required and lodge it with the relevant Life Company and following that, with the regulator. At this stage, the client pays Ethical Offshore Investments nothing..!!

If the complaint comes back unsuccessful (after appeals made to the regulator or tribunal), there is no cost to the client. So in other words, if we take on the case, we must strongly believe that there is a good chance of success…….

The cost to the client for when a compensation case is successful is dependent on a few different factors. The absolute maximum cost would be 20% of the net compensation amount received. And this is only payable once the compensation amount has been received.

However, this cost may in fact be lower depending on the actual amount of work we provided for the compensation as well as what business relationship that we have with the client. In some cases, the complaints resolution service can be part of the on-going client management service we are already providing  and as such, there is no further costs to pay…… irrespective of the compensation amount awarded.

If you feel that due to the actions of a previous advising firm, product provider or investment manager has resulted in you being financially disadvantaged, please click on the Request Information button below and provide some details, including how we can contact you, and we can confidentially discuss what is an appropriate course of action for you take.

Socially Responsible Investing using Ethical Business Standards.

The post Complaint Resolution Service first appeared on Ethical Offshore Investments.

The post Complaint Resolution Service appeared first on Ethical Offshore Investments.

Have you suffered a financial loss due to mismanagement of your Offshore portfolio or policy?

Our Complaints Resolution Service may be able to assist you in gaining financial compensation

No win = No cost

Our Complaints Resolution Service has been successful in obtaining financial compensation for clients that have suffered financial losses due to the actions of Offshore Life Companies, Investment Platform providers, Pension Trustees, Discretionary Fund Managers and regulated Financial Adviser firms.

I would like to think that the majority of people involved in the financial and wealth management industry are honest, trustworthy people that are trying to help their individual clients reach their financial goals and objectives.

However, I am not that naïve to dismiss the fact that, all be it a small percentage of industry participants, that there are some with different motives for being in the industry with the sole purpose of making as much money as they can, as quickly as the can, with no care of the consequences of their actions on their clients…….. I am not that naïve as unfortunately I have witnessed this first hand and this was one of the driving forces for me in setting up Ethical Offshore Investments.

While a lot of the negative issues experienced by investors in the offshore industry is the result of those so called ‘cowboys’, there will be occasions where a client has been financially disadvantaged due to negligence or incompetence from the actions of a corporate entity, such as a Life Company, Pension Trustee, Discretionary Fund Manager or a financial advising firm.

This could be for example:

• Incorrect or lack of disclosure of fees, charges and potential exit penalties
• Inappropriate investments (too risky, lack of liquidity, lock in periods, lack of diversification)
• Processing errors resulting in delays for payments
• Unauthorised transactions

A lot of clients that have invested in Offshore type investment structures and investment schemes are not aware of their rights to lodge an official complaint and depending on the complaint (& the participants), lodging an application with a regulator for financial compensation.

So how does Ethical Offshore Investments assist with this…?

First off, we obviously listen to the complainant about what has occurred & how they believe that the actions that were taken resulted in a financial loss.

We will then request relevant information from the product provider(s) involved (with clients consent of course) and will review the actions or transactions that took place. Taking into consideration the location (where the advice/service was provided as well as country of residence of the client) as well as the location of where the responsible entity is located, we can then provide guidance on what course of action the client can take.

Just because a client may be living in Thailand for example and received advice/services from an unregulated firm, doesn’t mean that there isn’t anything that can be done…….. if the product that the complaint is referring to is from a recognised offshore Life Company (without naming names, but they generally are the ones based in the Isle of Man, Guernsey, Jersey, Mauritius or the Cayman Islands) then there is an official complaints procedure that these companies must all adhere to, as directed by the local regulatory body to maintain their relevant licensing and registrations.

First step is to approach the relevant company with full details of the complaint & documented proof of how the actions caused the client to be financially disadvantaged. In many situations, where it is a clear-cut case of where the actions of the Life Company / Product Provider did result in a financial loss, the Life Company will deal with it internally & offer a compensation pay out directly to the client.

If the Life Company / Product Provider disputes the allegations made and does not agree to compensation, the next step is approaching the relevant Financial Regulator for that particular provider.

• United Kingdom – Financial Conduct Authority (FCA) UK
• Isle of Man – Isle of Man Financial Services Authority
• Guernsey – Guernsey Financial Services Commission
• Cayman Islands – Cayman Islands Monetary Authority
• Mauritius – The Financial Services Commission Mauritius
• Labuan – Labuan Financial Services Authority

We then provide the regulator all of the relevant information for them to asses and determine an appropriate financial outcome for the client. As part of our service, we continue to liaise with the Regulator & the client on the progress, as well as providing additional information as requested by the regulator.

Recent Compensation Success

Over the past few years, we have been able to achieve the following compensation results for clients:

• GBP 15,000 – incorrect processing of a withdrawal by an Isle of Man Life Company for a savings plan
• GBP 12,000 – incorrect processing of an asset transfer by an Isle of Man Life Company for an offshore portfolio bond
• GBP 10,031 – inappropriate investments allowed to be made by a Malta Pension Trustee Company
• GBP   3,871 – incorrect processing of a surrender request by a Guernsey Life Company savings plan
• US $ 8,000 – incorrect processing of an asset transfer by a UK regulated Discretionary Fund Manager

There have been many other successful smaller claims where fees have been waived and or reimbursed to clients.

How much does this service cost..?

First off, this is a No Win = No Pay service. If after we have reviewed your complaint situation and agree that there is a case to be made, we will prepare all of the documentation required and lodge it with the relevant Life Company and following that, with the regulator. At this stage, the client pays Ethical Offshore Investments nothing..!!

If the complaint comes back unsuccessful (after appeals made to the regulator or tribunal), there is no cost to the client. So in other words, if we take on the case, we must strongly believe that there is a good chance of success…….

The cost to the client for when a compensation case is successful is dependent on a few different factors. The absolute maximum cost would be 20% of the net compensation amount received. And this is only payable once the compensation amount has been received.

However, this cost may in fact be lower depending on the actual amount of work we provided for the compensation as well as what business relationship that we have with the client. In some cases, the complaints resolution service can be part of the on-going client management service we are already providing  and as such, there is no further costs to pay…… irrespective of the compensation amount awarded.

If you feel that due to the actions of a previous advising firm, product provider or investment manager has resulted in you being financially disadvantaged, please click on the Request Information button below and provide some details, including how we can contact you, and we can confidentially discuss what is an appropriate course of action for you take.

Sustainable Offshore Investing using Ethical Business Standards.

The post Complaint Resolution Service first appeared on Ethical Offshore Investments.

The post Complaint Resolution Service appeared first on Ethical Offshore Investments.

Know the facts and your options BEFORE you sign up for a Contractual Savings Plan policy

I make it no secret that I am not a fan of ‘contractual’ Savings Plans and the recent events with the Corona covid19 just reaffirms my attitude towards these products.

“Shouldn’t you be encouraging people to invest on a regular basis..?”

This is a question I do get asked when I do make my (negative) comments about these savings plan products….. but funnily enough, a lot of the time it is from other financial advisers. 

The answer though is a resounding yes…

People should be encouraged to invest on a regular basis for their longer term financial future. BUT just because a product has ‘savings plan’ in its name, doesn’t automatically result in it being the best option.

Below is a summary of why I personally do not like contractual savings plans, which I will go into some more detail later:

• Lack of flexibility (especially in the first 12 – 24 months)
• Restricted Investment options
• Expensive 

To be fair, there will be occasions where an Offshore Savings Plan will be the correct product and I have highlighted a few scenarios where this may be the case.

So what are the alternatives..?

I am a strong believer in the flexibility of investment products and where it has been appropriate, I have proposed the use of direct Platforms ( https://ethicaloffshoreinvestments.com/investment-platform/ ) as this in many cases, provides greater flexibility, increased investment opportunities and potentially is much more cost effective. For more information on the Investment Platform, please click the link below.

But back to my thoughts on contractual Savings Plans 

As stated, I do encourage people to invest on a regular basis for their longer term financial future but there is a lot more that needs to be taken into consideration than just putting away an amount each month. And the following are my concerns:

* Lack of Flexibility

Unfortunately, there are some ‘advisers’ in the offshore market that their only analysis of what to do with regular savings is “how much do you earn, how much can you put away each month & when do you want to retire”. Let’s say they have a 38 year old earning good money, who can currently afford to put away $2,000 per month and would like to retire at age 60. So a contractual savings plan of $2,000 per month is set up with a maturity term of 22 years…… sounds pretty straight forward doesn’t it..??

The adviser has provided all of the growth projections based on the above scenario plus all of the promotional material from the Life Company (Bonus Payment on initial payment, Loyalty Bonuses and Enhanced Allocations on monthly contributions) ……. Seems like a GREAT OFFER. The Life Company is going to add to your contributions and the more you invest, the more they add. But not all is what it seems (more on this later).

But here is where the lack of flexibility (in my opinion) can end up being very costly.

Hopefully, the adviser would have confirmed with the client about the Initial Funding Period and that during this period, no changes to the contributions can be made. The length of the Initial Funding Period does depend on the different Life Companies product offerings as well as the term length of the policy. This will range from 4 months (rare) to the more common 18 – 24 months. 

Using our example above and the product terms of a very common product promoted in the offshore market (RL360 Savings Plan**), the Initial Period would be 22 months and as such $2,000 per month needs to be contributed for at least the first 22 months of the policy. So once the $44,000 has been contributed (22 x $2,000) the client does have the flexibility to reduce or even suspend their regular contributions. But at a cost…..

So what can you do if your personal situation changes during this Initial Funding Period…??

The simple answer is not much if anything at all….!!! If you can not fund the monthly payments within the Initial Funding Period, you would lose a large amount of what you had invested…… if this occurs in the first 12 months, then say goodbye to 100%. 

I think the above is absolutely critical for any prospective investor to understand completely, as the current covid19 crisis is a prime example of how a personal situation can change considerably…… Start of the year, steady job with regular income…… a few months later, covid19 shuts down many industries & jobs are lost, so no income (& obviously can no longer fund the monthly savings). So not only would the investor feel the negative impact of reduced/no salary income but a massive penalty if they wanted to stop paying into the savings plan………..

While the covid19 is an unprecedented global event, I still don’t accept the rationale of a long term contractual savings plan when so many other situations can occur that can affect your capacity to contribute each month. By signing up for a $2,000 per month x 22 year savings plan, that is realistically saying that over the next 22 years, you will always be in a position to contribute $ 2,000 per month to the plan…… I can’t speak for everyone, but there is no way I could with 100% confidence state that I could do that for even the next 5 years, never mind 22 years..!!

This is why I like the flexibility of a direct platform…… you can add to the platform account when ever you want to, with an amount that you want to. If your personal situation changes to where you need to reduce or not pay anything in, you have that flexibility. Also, while the account may have been established for the longer term, maybe retirement plans, as the Direct Platform has no lock in periods, or funding periods or set length terms, you can access some or all of your investment and you are NOT penalized for doing so..!!

I am a very strong believer in establishing a regular savings habit….. But it needs to be flexible to meet the personal and individual changes that each person goes through in their working life. 

* Restricted Investment Options 

While the Life Companies will offer what appears to be a wide range of investment choices for your regular savings plans, investors are still restricted in only having access to the funds on their specific list. And that unfortunately doesn’t always results in the better Managed Funds being available. And the funds that they do have access to, very rarely do you see the use of the lower charging version of the fund https://ethicaloffshoreinvestments.com/same-investments-lower-costs/ 

Once again, I prefer to offer clients the option of flexibility of investment choices, whether it is for a savings strategy or lump sum investment 

The International Platform provides investors access to well over 80,000 different Managed Funds, as well as Exchange Traded Funds / Commodities (ETF’s / ETC’s) and direct shares. So even someone saving on a monthly basis can invest directly into say Amazon, Microsoft, Tesla shares, they could invest directly into the S&P500 index via an ETF or even physical gold via an ETC. Contractual Savings plans do NOT give you that flexibility and diverse investment choice.

Access over 80,000 managed funds, plus ETF’s and direct shares https://ethicaloffshoreinvestments.com/investment-platform/

* How expensive are contractual savings plans..??

Now, this is my personal opinion and I am sure that there are advisers and product providers out there that disagree with me…… but my opinion is that they are extremely expensive. Plus, and this really annoys me, the charging structure is very complicated to understand, especially when it comes to a situation where a monthly contribution amount has been changed (or stopped).

In most cases, the policy / admin charges are predetermined at the outset, based on the monthly saving contribution and the term of the policy. So using our previous example again, the policy / admin charges would be calculated assuming that the client would be contributing the same $ 2,000 per month, every month (on time) for a full 22 years……. If a client reduces or suspends paying in to the policy for a period of time, it doesn’t affect the Life Company as the charges have already been calculated and will continue to be collected. This could be as high as 6%pa of the policy value if you were to stop contributing straight after the Initial Funding Period (even higher when you include the management costs).

But what about all of those promotional bonuses from the Life Company that get paid as an incentive…

Good question……… using the previous example of a $2,000 per month x 22 year plan, this particular Life Company would pay:

• $ 9,180 Starter Bonus
• Additional 2% for each monthly contribution (so an extra $40 per contribution)
• Bonus Loyalty Payment of 5.5% of the plan total at the end of the 22 years (this is reduced if you don’t pay all your monthly contributions)

So that seems to be quite a financial windfall then….. so why then on the illustration report does it state that you still require a growth rate of 1.41% net each year for an investor to get back just the amount that they have invested..?? And don’t forget, that is assuming that you make the $2,000 investment every month for 22 years, otherwise this bonus amount will substantially be reduced (& you will need to achieve an even higher net growth rate just to break even).

If you are considering a new savings plan or already have one set up and would like to know what your actual bonus and/or policy charges are, please press Request Information and provide details of the policy type (do NOT include policy number(s)).

And this is all before you take into consideration the individual investment Managed Fund charges. Every fund will have their own internal charges for the operational costs of managing that particular funds strategy. Fixed Interest / bond and passive type funds generally have lower costs with the more specialist equity funds (biotechnology, emerging market economies) being the more expensive due to the higher levels of activity.

 There are different versions of each fund, structured for a specific end client. Unfortunately, it does appear that the share class version the savings plan policies use are the higher charging, retail versions of the fund…… I can only speculate that it is because the Life Companies get some form of trail commission revenue from the fund manager for making it available on their list of available funds………..

ethicaloffshoreinvestments.com/same-investments-lower-costs/

I am sure that there will be many an offshore adviser that will rubbish what I have stated above…… but at the end of the day, it is my personal opinion based on the information that I have available. 

I am a strong believer in the importance of flexibility, and the covid19 is a perfect example of that. As an investor, wouldn’t you prefer to have the flexibility to reduce or stop making regular contributions without getting penalized..?? Also, wouldn’t you like to be able to access your money at anytime without penalty..?? I know that I prefer that with my own personal finances.

So when would I use a contractual savings plan?

Being issued by a Life Company, there is the Insurance Tax Wrapper structure around the policy which can provide some tax benefits for certain nationalities / citizens while they hold the policy, and/or when it comes time to cash it in. 

There is a definite benefit for Australians that return & become Aussie tax residents again with the 10 year ruling. In summary, if a policy has been held for 10 years or longer, and you have not contributed 25% more to the plan than the year prior, any gains made on the cashing out of the policy would not be subject to Australian tax (correct as at time of writing). If you are an Australian that is planning on repatriating back to Australia (or already have) and would like further information on the tax consequences of an offshore policy, please click Request Information and we will be in contact with you.

Also, for smaller regular contribution amounts (less than $750 per month) it may be more beneficial for a contractual savings plan due to the fact that you can ‘spread’ that contribution amount across a range of ‘their listed managed funds’. With the investment platform, as you would be investing directly into the relevant fund, there will be at times where a minimum investment amount is required. 

So in summary, yes there can be situations where an offshore contractual savings plan could be appropriate…….. But before signing up, please check the terms & conditions, especially the penalties if your situation changes and you need to change the contribution amount or need to access some or all of the policy.

Remember, they have set the pricing on these policies based on you contributing the same amount each month, every month until the maturity date…….. ask yourself this…. “do you think that your situation will not change over that period..?”

Personally……. I would prefer the flexibility.   

** The RL360 Savings Plan mentioned in this article is a product that I would propose for a potential client where a contractual savings plan is the appropriate option for the client. I am in no way suggesting that there is anything wrong or unethical with the product….. I just want to ensure that potential clients are provided with the most appropriate option for their personal requirements.

The post A Regular Savings Plan… or A Savings Trap first appeared on Ethical Offshore Investments.

The post A Regular Savings Plan… or A Savings Trap appeared first on Ethical Offshore Investments.

Generally speaking, if investing in shares (growth funds), then investors should be looking at taking an absolute minimum 5 year timeframe before they anticipate that they need to redeem their investments (this is a 5 year timeframe for the sectors, not specifically the individual managed funds).

The Global Financial Crisis that we saw in 2007 through 2008, what we saw again in 2011 and 2012 with the European debt crisis and even in late 2018 with the US v China trade tariff discussions with possibility of a trade war, is why investment timeframe is so important. Edit 31 March 2020 – and now the current situation with covid19.

To give an example, if you had invested in a diversified portfolio (using the FTSE UK Private Investor Growth Index) at the start of June 2008, the value of that investment would have been nearly 32% lower by March 2009. However, investors that maintained the portfolio strategy, recovered those losses around 12 months later. 

Investors that maintained their investment for the recommended 5 years, would have achieved an investment return of 35.5% (average of 6.26%pa). If held for 10 years, the investment return was 104% (7.39%pa) and this is after the initial drop in value of 32%. Edit 30 October 2020 – with the negative impact of covid19, the updated annual performance is currently 6.51%pa)

_{A . FTSE UK Private Investor Growth}

This is why it is important that we structure portfolios so that proceeds that may be needed in the shorter term are placed in more cautious, less volatile assets. Proceeds that will not be required for a period of 5+ years can be invested in equity type investments, and therefore if (when) we do see a downturn in the markets, it provides time for the quality assets to recover before they are actually needed.

Any investors that have queries with the managed funds that they hold or wish to see how those funds would have performed during the same periods, please use the ‘request information’ button.

The post The Importance of Investment Timeframe first appeared on Ethical Offshore Investments.

The post The Importance of Investment Timeframe appeared first on Ethical Offshore Investments.

The Bank of England made a 50-basis point interest rate cut to 0.25 per cent as part of a package of measures aimed at limiting the long-term impact of coronavirus. But what does it mean for investors?

Outgoing governor Mark Carney said the Bank had come up with a “timely and powerful package” of measures to mitigate the long-term impact of the Wuhan coronavirus outbreak, which is also known as Covid-19.

The central bank warned that the magnitude of the shock was “highly uncertain” and that economic activity would likely weaken in the coming months, highlighting disruptions to supply chains and increased demand for short-term credit from households and working capital from businesses.

As well as the 50-basis point cut to the base rate, the Bank’s Monetary Policy Committee unveiled a new term funding scheme for small- and medium-sized enterprises.

The Bank’s Financial Policy Committee also announced that the UK countercyclical capital buffer rate –  a tool designed to judge the resilience of the banking system and increased when risks are building up – would be reduced to 0 per cent, down from 1 per cent. This, the Bank said, would make £190bn available for lending to businesses and is equivalent to 13x banks’ net lending in 2019.

However, Karen Ward (pictured), chief market strategist for EMEA at JP Morgan Asset Management, said the key question was whether rate cutes would work to reduce the impact of Covid-19 on the economy.

“We wouldn’t dismiss entirely the role monetary policy can play,” she said. “Rate cuts and new asset purchase schemes could provide some support to asset prices, as investors are forced to search for yield, and encourage governments to spend given they can finance larger deficits at cheap interest rates.

“Liquidity provisions might also help the banks and prevent a tightening in financial conditions.”

However, Ward added that “targeted fiscal measures” could be a more effective way to shore up the economy, in JP Morgan Asset Management’s opinion.

“Rent and wage subsidies and tax credits would give companies confidence in their ability to manage down their costs in line with their falling revenues,” she explained. “This will prevent a vicious cycle of demand weakness leading to job cuts and further demand weakness.”

Nevertheless, it is likely that all eyes will be on new Chancellor of the Exchequer Rishi Sunak and his first Budget this afternoon to see what kind of support the UK government will also be offering.

Anna Stupnytska, head of global macro at Fidelity International, said Sunak’s first Budget as chancellor would likely focus on fiscal measures designed to help the economy navigate the shock.

“While the action from the Bank of England and the Treasury on the same day signals the policymakers’ preparedness to respond, the high degree of uncertainty around the extent of the coronavirus spread and its economic impact makes it difficult to gauge whether the new policy measures are going to be sufficient to avert a recession this year,” she said.

David Zahn, Franklin Templeton’s head of European fixed income, said the coordinated approach should be well received by bond markets.

“This combined approach should help support the economy and demonstrates that the Bank of England is ready to act, and will be creative with their support of the economy,” he said. “We anticipate easy monetary policy in the UK will be with us for the foreseeable future and more easing is likely. Bonds should continue to perform.”

Nevertheless, the measures already announced by the Bank of England should be beneficial for bond markets.

“We would say the moves on the counter-cyclical buffer and term lending for SMEs are more important and more useful than the rate cut,” said Paul Brain (pictured), head of fixed income at Newton Investment Management and manager of the BNY Mellon Global Dynamic Bond fund.

“The problem is not so much with the cost of credit as with the flow of credit, and the former two help with that.”

Brain added that gilts were already pricing in a cut to UK interest rates, so he expects little immediate reaction to the news from bond markets.

“Once the economic threat has dissipated the longer-term influence would be to see yields rise if growth rebounds,” he said.

However, the news might not necessarily be well-received by the UK stock market and any big moves are likely to be determined by the details in this afternoon’s Budget statement.

“Rate cuts such as these – and the one executed by the Federal Reserve in the US last week – are designed to bring economic and market stability,” said Emma Wall, head of investment analysis at Hargreaves Lansdown. “But investors shouldn’t expect the stock market reaction to be wholly positive.

“While lower interest rates should mean good news for any debt-laden consumers, it also confirms that the Bank of England expects there to be a negative impact on the domestic economy, which is unlikely to be well received by the stock market.

She added: “We saw this last week when the Fed cut rates – an initial rally lasted less than 30 minutes before markets began to shun equities for ever less yielding but capital preserving bonds.”

Original Article by Rob Langston appears here:
https://www.trustnet.com/news/7462226/the-bank-of-englands-emergency-rate-cut-and-what-it-means-for-investors

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From record temperatures in the Antarctic to the row over the presidency of the UK-hosted COP26 climate talks, it’s easy to become despondent about climate change. In fact, psychologists warned recently that the pile-up of worrying climate news could be stoking a mental health crisis.

Yet amid the scary headlines, the massive changes taking place to decarbonise the global economy often get overlooked. There’s an enormous amount still to do to meet emissions targets. But we believe there are at least three reasons for investors to think (and act) positively. After all, negativity will get us nowhere – it’s time for forceful, positive action on climate change.

Political and business momentum is becoming unstoppable

We’re starting to see political responses to climate change that would have been unthinkable a few years ago. European industrial policy is now based entirely around the low-carbon economy, with the bloc’s leaders looking to halve emissions by 2030 – a commitment that will require €260bn of investment per year in energy, transport and construction. Meanwhile, the UK has brought forward a prohibition on the sale of petrol and diesel cars by five years to 2035 at the latest, and included hybrids in the ban for the first time.

The response from some sections of the business community has been equally impressive. Confounding most forecasts, new data shows that global carbon emissions from energy plateaued in 2019 as developed economies abandoned coal in favour of wind, solar, natural gas and nuclear — the first time in a decade that carbon emissions from energy have not increased. Meanwhile, UK energy providers generated more electricity from zero-carbon sources in 2019 than from fossil fuels, for the first time since the industrial revolution. =

This acceleration of climate action is widening the opportunities for investors. We think there are some great decarbonisation enterprises with solid business models, impressive technologies and defensible competitive positions. Of course, there are also companies that don’t have these attributes, which is why we recommend a highly selective approach. But the assumption that a climate-focused portfolio need be high risk is totally outmoded, in our view.

In fact, we’d argue quite the reverse: that a well-constructed environmental portfolio can help balance the climate risk in other investments. What’s more, investing in decarbonisation companies should have a positive impact by aiding the transition to a lower-carbon economy.

The focus is shifting to positive investment

There are also encouraging signs that more investors are recognising that divesting from carbon-intensive businesses is not, by itself, sufficient. Investec’s recent Planetary Pulse survey found that UK investors are keen to use their savings positively to help tackle climate change. Some 61% of UK pension fund members said they would be willing for a proportion of their workplace pensions to default into environmental investments.

That’s good news because, as the director of the United Nations Environment Programme says, “we need to catch up on the years in which we procrastinated.” ‘Catching up’ means a massive and immediate acceleration of efforts to tackle climate change, or else the 1.5C goal will be out of reach by 2030.

This shift in emphasis towards positive investment is good for the planet, because it raises the likelihood of meaningful action being taken. It’s also good for investors in decarbonisation, because it will strengthen the tailwind behind the businesses that are shifting the global economy to a lower-carbon model. Specifically, we need to spend heavily on: transforming our energy infrastructure; electrifying transport and other systems; and vastly improving energy efficiency. There are investment opportunities across all three of these pathways to a lower-carbon world.

The risk of positive shocks may be rising

Though worrying from a planetary point of view, there is a positive investment case to be made from the fact that current efforts to tackle climate change are “utterly inadequate”, according to the UN. We’re spending only about one-quarter of the $2.4trn required each year to stop temperatures rising dangerously. That’s already driving growth for select businesses, but the additional spending required to achieve the Paris Accord emissions targets would put their growth into hyperdrive.

It remains to be seen whether the full investment will be made. But the UN’s dire assessment increases the likelihood of regulatory, technological or consumer-choice shocks to get emissions on track. Such shocks would be positive for decarbonisation companies and negative for businesses with high climate-risk exposure. To illustrate the growth potential of decarbonisation businesses, cutting emissions sufficiently to achieve the 1.5C goal would mean increasing wind and solar’s share of the energy mix from 7 per cent to 70 per cent. The proportion of electric cars on the road would need to reach 100 per cent. That isn’t our base case but, after a torrid 2019 for the electric-vehicle value chain, we think 2020 could mark a turning point for the electric car.

As an aside, these shocks would only be felt meaningfully in listed equities, which immediately price in changes in expected growth. Green bonds and private infrastructure – other ways that investors might seek exposure to decarbonisation – won’t respond in anything like the same manner, largely because their returns are contracted, which makes their valuations fairly stable.

Let’s close with one more positive for investors. Our analysis shows that the consensus is forecasting lower growth for decarbonisation companies than for the market overall. To us, that makes no sense. But it also suggests opportunities to invest in businesses whose potential the market is yet to recognise. If that doesn’t sound like a reason for investors to look forward more positively, we’re not sure what would.

Deirdre Cooper is co-portfolio manager of the Investec Global Environment fund. The views expressed above are her own and should not be taken as investment advice.

Original article by Deirdre Cooper, at Investec Assset Management:
https://www.trustnet.com/news/7462139/three-positive-reasons-for-investors-to-think-positively-about-climate-investing

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Hundreds of funds have slumped to double-digit weekly losses as stock markets have tumbled amid fears over the spread of the coronavirus.

Morningstar data shows 350 funds registered for sale to UK investors have suffered a loss of 10% or more over the rolling week to yesterday, not including the impact of renewed stock market falls today.

It’s a measure of how violent and indiscriminate the stock market sell-off has been that the hardest-hit funds are focused on varying sectors and geographies and employ different approaches.

US funds have broadly fared the worst, but some UK funds have been hit equally hard. Technology funds and those with a heavy growth focus have tumbled, but so too have recovery, special situations and value funds.

Funds investing in perceived safe havens, like government bonds and gold, have risen, while one fund run by bearish fund manager Tim Bond has soared.

Oil funds slump

Among funds readily accessible to UK investors, the £126m Guinness Global Energy has been worst hit, tumbling 12.4% as the price of a barrel of Brent crude oil has tumbled from $58.50 to $50.55 over the last week. Junior Oils has fallen 11.3% and T Rowe Price Global Natural Resources is down 10.2%.

While funds in the Investment Association’s North America sector litter the bottom of the performance charts over the last week, a UK strategy is one of the heaviest fallers.

Neil Vetich’s £147m SVM UK Opportunities fund has tumbled 12.2%, hurt by positions in tumbling airline shares International Airlines Group (IAG), Ryanair (RYA.I) and Wizz Air (WIZZ), a 15% weighting to oil and gas companies and a broad bias towards cyclical stocks more exposed to the fluctuations of the global economy.

The fund is the worst performer in the Investment Association’s UK All Companies sector over the last five days and is joined at the bottom by Premier UK Growth, down 10.7%.

Two of the worst performing funds in the sector over the last five years continued to be hit hard this week. 

The £958m Jupiter UK Growth fund, whose poor performance has culminated in the announcement this week that manager Steve Davies was leaving the fund group, fell 10.1% over the week to yesterday. 

The £1.9bn M&G Recovery fund, dropped from Hargreaves Lansdown’s Wealth fund buy list last year and sold from the online stockbroker’s HL Multi-Manager Balanced Managed fund, fell 10%.

Those two funds were among a host of value, recovery and special situations funds to perform poorly this week.

Growth and value suffer 

The £178m Investec Global Special Situations fund, featuring a heavy weighting to US banks, fell 10.8% while Miton UK Value Opportunities was down 9.7%.

But at the other end of the investment style spectrum to value funds, those focused on technology and growth stocks were also hit hard.

The £701m AXA Framlington WF Robotech fund fell 11.8% while the £1.1bn Janus Henderson Global Technology fund was down 9.9%.

Funds with a broader focus on growth stocks joined them at the bottom of the week’s performance charts. The £842m Baillie Gifford Global Discovery fund was down 9.5% while the Edinburgh fund group’s £2.5bn American fund fell 9.2%, as its £8bn Scottish Mortgage (SMT) investment trust languished at the bottom of the FTSE 100.

Latin American funds also fared particularly poorly. The £389m Threadneedle Latin America fund fell 11% and Invesco’s £119m Latin American fund was down 10.5%.

The UK’s largest fund, the £19.3bn Fundsmith Equity, fell 7.4%, as Citywire AAA-rated manager Terry Smith this week told investors he was ‘pretty relaxed’ about the impact of the coronavirus on his strategy. 

Citywire AA-rated Nick Train’s £6.6bn Lindsell Train UK Equity fund fell 6.8% while his Lindsell Train Global Equity fund was down 5.7%.

Havens rally, bear gains

Bond funds rallied amid the flight to safety over the week, with those investing in UK index-linked gilts performing particularly well. Index-linked gilt funds run by Baillie Gifford, AXA and BNY Mellon were up 3.4%, 3.2% and 3.1% respectively.

Among bond funds with a broader remit, the £767m Allianz Strategic Bond fund was among the best performers, while the £888m Ruffer Gold fund rose 2.7% as investors flocked to the precious metal.

The standout performer of the week was the small £55m Odey Odyssey fund run by bearish fund manager Tim Bond, which surged 11.8%. 

But that represents just a small fillip to long-suffering investors in the fund, who have seen their holdings more than halve over the last five years.

Original article by Daniel Grote originally appears at Citywire Funds Insider
https://www.fool.com.au/2020/02/26/well-i-did-it-i-bought-shares-today/

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Star fund manager Terry Smith is ‘pretty relaxed’ over the impact of the coronavirus on Fundsmith Equity and confident his £19.3bn fund will rebound more quickly than the stock market in a crash.

Speaking at the annual shareholders’ meeting for investors in his top-performing fund, the UK’s largest, Citywire AAA-rated Smith acknowledged the impact the virus would have on the revenues generated in China by companies in the fund. 

He added that the fund’s holdings in companies involved in the travel industry, like airline reservation system operator Amadeus (AMA.MC), down 11% over the last week, and Intercontinental Hotels (IHG), 12% lower, would be hit ‘quite substantially, at least in the near-term’.

But he argued that across his fund, ‘there’s plenty of it that actually won’t be affected very much’. ‘At the moment, we’re frankly pretty relaxed,’ he said.

Smith acknowledged the broader economic impact of the virus, which has now caused 2,765 deaths and infected 81,131 people.

‘It’s probably going to have an economic effect, obviously, because we’ve had quite a big shutdown in China which is somewhat the workshop of the world now.’

But he added the proportion of revenues Fundsmith Equity’s companies derived from China was small, at 6.7%.

‘We’ve got a handful of companies that have got quite large exposures in China,’ he said.

‘If you think of our direct China exposure in the portfolio, it’s like one-and-a-half of a holding. Imagine that we had one-and-a-half companies operating in China. Are you worried about that? I’m not worried about that.’

Clorox softens blow

Fundsmith Equity is down 4.7% over the last three days as stock markets have tumbled, having retreated from an all-time high. 

One stock that has cushioned the blow as coronavirus fears have gripped investors is Clorox (CLX.N), which Smith started buying in December.

Shares in the cleaning products maker are among the few to have risen amid the heavy stock markets falls as investors bet on strong demand for its disinfectants and bleaches.

The stock is among the best performers in the S&P 500 over the last month, up 4.9%. ‘Better to be lucky than good!’ said Smith.

Questioned over the timing of the next global recession, Smith said he wasn’t capable of predicting when it would happen. ‘I don’t think anybody else is particularly either,’ he said.

‘Historically they mainly occurred as a result of the interest rate cycle – inflation takes hold, the banks put interest rates up, the market and the real estate sector and various bits of industry fall over, there’s a recession and then we go back,’ he said. ‘That’s not always the case, sometimes they are caused by events.’

The fund manager said his fund should prove resilient in a stock market crash, pointing to the ‘defensive’ characteristics of the companies it owns, with products consumers were still likely to buy even during times of economic stress.

‘They are defensive economically in the event of a downturn, which is to say people still brush their teeth and feed the dog, and do all those other fine things that we invest in, during a downturn,’ he said.

Crash modelled

Smith also produced modelling of how the shares Fundsmith owns performed during the financial crisis in 2008. They fell 20.3% from their peak to their lowest point, and took 11 months to recover that loss.

The FTSE 100’s peak-to-trough fall was more than twice that, at 47.3%, and it was four years before the index recovered that ground.

‘That gives me some comfort,’ Smith said but added that of more importance was the impact on the businesses, rather than their share prices. Similar modelling showed the companies’ organic growth, which stood at 10% in 2007, fell to just under 2% in 2009, before recovering to over 6% in 2010 and around 7% in 2011.

‘The question we are really, really interested in in the event of a market event and/or an economic event that’s linked to it is not just what happens to the prices, but what happens to the companies?’ he said.

‘Because if we are trying to be very long-term investors… what fundamentally happens to them is really of great importance to us.’

Original article by Daniel Grote originally appears at Citywire Funds Insider
https://citywire.co.uk/funds-insider/news/terry-smith-relaxed-over-coronavirus-impact-on-fundsmith/a1327821

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Nick Train, one of the UK’s few remaining star fund managers after the downfall of Neil Woodord, has scooped up a stake in battered tonic maker Fevertree (FEVR) and declared himself uninterested in the stock market turmoil caused by the coronavirus.

Train invested 0.6% of Finsbury Growth & Income Trust (FGT) in Fevertree this month as its share price sank following a profits warning in January caused by disappointing Christmas trading.

The Citywire AA-rated fund manager told shareholders in the £1.7bn investment trust that Fevertree was ‘a classic Lindsell Train idea’, referring to the investment firm he co-founded with Michael Lindsell 20 years ago.

After a meteoric rise from their flotation in late 2014 as Fevertree stole market share from Coca-Cola’s Schweppes, the company’s shares peaked at over £38 in September 2018. Since then they have plunged by two thirds as fears have grown about the company’s US expansion and whether the UK tonics market has lost its fizz.

More than tonic

Train acknowledged the £1.5bn company faced challenges in the short- and medium-term. Asked by an FGT shareholder whether Fevertree was too ‘fashionable’ and vulnerable to changes in consumer taste, Train replied: ‘A brand of global significance has been established. There is an opportunity to grow that brand equity in Europe and the US.’

But he agreed that ‘Fevertree needs to be about more than tonic’ if it was to continue to succeed, pointing to the growth potential in its ginger ale and soda water products in the US.

Train told investors at FGT’s annual general meeting in London’s Guildhall that he and Lindsell had watched Fevertree for years looking for an opportunity to buy.

‘Having kicked ourselves for not buying it seven years ago then to see the collapse in the share price,’ he said they had to act.
Train declined to say what price he had bought Fevertree but said it was ‘notably under £14’. The shares have continued to fall as covid-19 fears have gripped the market, down 3.9% or 51.5p to £12.63 today. 

Don’t panic 

As a long-term bull of equities Train was reluctant to talk too much about the rout that has swept global stock markets this week. ‘Our rule of thumb is to do nothing. It’s the most rational thing to do – probably!’ quipped the manager who used market falls last month to top up favourite holdings such as Burberry (BRBY) and Remy Cointreau.

When asked by another shareholder to say more Train declined, explaining: ‘I could blather to you about it but I’m not going to. It’s not part of our investment process, it’s not how we look at the world.

‘You shouldn’t sell in a panic,’ he added.

‘There are opportunities building as a result which we’re looking at. I’m not interested,’ he concluded on the virus topic.

The Fevertree purchase marks a relatively busy time for Train who is renowned for the low turnover of his portfolio, most of whose 23 stocks he has held for over 10 years.

Last summer he added Imperial Leather soap maker PZ Cussons (PZC), his first UK listed equity buy in nine years, although its 0.3% weighting in FGT indicates the caution with which the manager is approaching the company, which has suffered the collapse of its profits in Nigeria.

Train did not disclose whether he had bought Fevertree for the £3.6bn Lindsell Train UK Equity fund, which was downgraded by Morningstar on capacity concerns in December, but it is likely given the similarity with which he runs both portfolios.

Bust and boom

Train defended his decision to add PZ Cussons, whose shares have fallen 15% in the past six months, arguing that its strong position in Nigeria should stand it in good stead given the long-term growth anticipated in its population.

‘I’m not a geopolitical expert. I’ve no idea if Nigeria will recover as an economy or a polity but emerging markets have shown boom and busts before,’ Train said.

‘Buying Nigeria earnings now is definitely at the bottom as that population grows, having that number one position in soap, shampoo, baby care and refrigeration will be valuable,’ he said.

Establishing long-term positions in companies Train believes have powerful global franchises – such as London Stock Exchange (LSE), the trust’s biggest holding at 11% – has served FGT shareholders well. Over 10 years investors have received a total return, including dividends, of 323.5% that puts the trust at the top of the AIC UK Equity Income sector.

Train used the example of Diageo (DGE) to underline his opposition to taking profits on his winners. Since FGT invested in the Guinness to Johnnie Walker whiskey group in 2001 its share price – or capital return excluding dividends – had risen four-fold, beating the FTSE All Share’s modest advance of 40%.

‘That demonstrates what can happen if you invest and hang on to exceptional companies over time,’ he said.

Pearson folly

Pearson (PSON) is the big fly in the ointment, however, with Train having lost shareholders money since buying the education publisher at 791p in 2002. The shares stand at 548.4p, down 3.6% today, after a series of profit warnings driven by its switch from print to online learning.

Train described the holding as a ‘folly’ and in a sign that he was losing faith in its ability to adapt to new media, he said ‘I’m no longer an exponent of this company. I’m just trying to manage the investment.’ Rather than take profits, Train may be poised to cut his losses in a company in which he holds 10% of the shares.

Original article by Gavin Lumsden originally appears at Citywire Funds Insider
https://citywire.co.uk/funds-insider/news/do-nothing-train-buys-fevertree-after-six-year-wait/a1329041

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