InvestUS SIPP Compensation Claims
InvestUS was an investment fund sold to clients across the UK. In many cases, advisors did not accurately explain this fund’s risks, prompting concern that they were not meeting the Financial Conduct Authority (FCA) rules. In theory, the fund was meant to purchase foreclosed properties across the US, starting first in Detroit, Florida, and Chicago. They would then renovate the properties and sell them for a profit. However, this is not what happened, and investors lost their pension savings. Did this happen to you?
InvestUS was run by the UK’s Steven Right, who also founded Cherish Wealth Management, a company that mis-sold Sipp pension plans. The fund ran from July 2013 through to the end of June 2015, and was registered in Seychelles. At least £77 million was invested in the scheme, via cash or Sipp. The Financial Services Compensation Scheme (FSCS) awarded more than £7m in mis-sold Sipp compensation for Cherish’s clients.
Hundreds of British advisors mis-sold Sipp pension funds to their clients without properly explaining the risks. Did your advisor suggest a fund like InvestUS to you without accurately detailing that it was a high-risk investment? If so, you could qualify for mis-sold Sipp compensation.
What did InvestUs do wrong?
While the InvestUS Exit Strategy was initially deemed a ‘creative solution’ to help remedy the US class divide, it ultimately ended in ruin for thousands of investors worldwide. The fund’s promotional materials suggested a net return of 15% per year over three years. They also promised that the returns would be reinvested in the scheme.
The first payment went out to investors with no issues. However, the remaining payments were delayed for more than two years, or never materialized. Auditors ruled this to be a conflict of interest. Concerningly, they stated, the “information available to date had been inhibited by the lack of detailed accounting… we are unable to provide evidence of the borrowing companies’ finances.”
Many complaints and claims have been made to the Financial Ombudsman and the FCA, as many Independent Financial Advisors sold this fund while also investing in it themselves
Are you entitled to mis-sold SIPP compensation from InvestUs?
Did you invest any of your pension funds with InvestUs? InvestUs is now officially dissolved, and they can no longer pay out any returns. However, the Financial Services Compensation Scheme (FSCS) has made mis-sold SIPP compensation available to people like you. If an InvestUs advisor convinced you to put your pension money into their investments, only for that investment to fail, you might qualify for mis-sold SIPP compensation.
Our claims experts can advise on whether you could qualify for mis-sold SIPP compensation. Apply online today for an information pack to learn more.
FSCS InvestUS Claim
InvestUS 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 InvestUS. Fill in our online application form to get started.
You do not need to use a claims management firm to make your claim and if your complaint is not successful you can refer it to the Financial Ombudsman Service or in the case of a failed firm, the Financial Services Compensation Scheme, for free.