Fortuna Wealth Management Ltd was an independent financial advisory firm that was one of the companies associated with the British Steel Pension Scheme scandal. The company has one officer, Andrew John Deeney, and is based in Birmingham. The company was incorporated in October 2016 initially as AWG Financial Limited and gained authorisation with the Financial Conduct Authority (FCA) in June 2017. It changed its name to Fidelis Wealth Management in December 2017, finally becoming Fortuna Wealth Management in November 2018. Their accounts are overdue from 27 October 2019.
Deeney was initially involved with Active Wealth (UK) Ltd, one of the companies that exploited the uncertainty that surrounded Tata’s Steel decision to sell its UK business in 2016, by advising many British Steelworkers to swap their defined benefit pension into risky investment bonds products, losing valuable accrued benefits when they did. Later when Active Wealth (UK) Ltd got into trouble due to the financial mis-selling, Andrew Deeney bought the Active Wealth (UK) Ltd client book in 2018 and continued to give unsuitable advice.
Were you mis-sold SIPP or investment products by Andrew Deeney or Active Wealth (UK) Ltd? If so, you may qualify for mis-sold pension or SIPP compensation from the Financial Services Compensation Scheme (FSCS).
What did Fortuna Wealth Management Ltd do wrong?
Andrew John Deeney founded AWG Financial Ltd in October 2016, while still being an active advisor for advice firm Active Wealth (UK) Ltd. Active Wealth (UK) Ltd ultimately entered liquidation on 5 February 2018. On 28 February 2018, Deeney purchased its client book. This client bank consisted of approximately 900 clients and was bought for £5,000. Fidelis Wealth Management, formerly known as AWG Financial Ltd and what would become Fortuna Wealth Management, took on 150 of those clients.
Following on from the initial mis-selling in 2017 surrounding the British Steel Pension Scheme (BSPS), Deeney’s company continued to advise British Steelworkers to transfer out of their defined benefit pension into a defined contribution pension, known as a Personal Pension Plan or a Self-Invested Personal Pension (SIPP).
Sadly, many British Steelworkers received negligent advice to transfer their desirable final salary pension to an inferior private plan.
By transferring to a private pension arrangement, they would have lost the benefits already built up in the British Steel Pension Scheme. It may not have been realistic to achieve the same level of benefits from their new plan.
According to the FCA, Deeney initially denied investing clients in high-risk investments and blamed any high-risk bond investments made by Fortuna on Active Wealth (UK) Ltd. However, the FCA disputed this and believed the majority of these investments occurred after Active Wealth (UK) Ltd went into liquidation on 5 February 2018. It concluded Deeney’s version of events was false.
As well as advising clients over these high-risk bonds, the FCA also discovered that Fortuna received ongoing advice fees from 150 clients despite carrying out annual reviews for only 27, meaning 120 were charged without any ongoing service. Despite suggesting it would do so, as of February 2020 the firm had still yet to refund these advice fees, which amounted to £20,000.
Are you entitled to mis-sold SIPP compensation from Fortuna Wealth Management Ltd?
Did you invest any of your pension funds with Fortuna Wealth Management Ltd? Fortuna Wealth Management Ltd is now officially dissolved, and they can no longer pay out any returns. However, the FSCS has made mis-sold pension and SIPP compensation available to people like you. If a Fortuna Wealth Management Ltd advisor convinced you to put your pension money into a SIPP or investments, only for that investment to fail, you might qualify for mis-sold pension or SIPP compensation.
Our claims experts can advise on whether you could qualify for mis-sold pension or SIPP compensation. Apply online today for an information pack to learn more.
FSCS Fortuna Wealth Management Ltd claims
Fortuna Wealth Management Ltd has been declared in default by the Financial Services Compensation Scheme. This means that the UK’s compensation scheme for failed financial services firms will pay compensation for valid mis-selling claims. Allegiant can assist you with claims to the FSCS about Fortuna Wealth Management Ltd. Fill in our online application form to get started.