This information is provided for information only and must not be considered as investment advice. You should seek professional investment advice before making any investment decision.
Financial Security
Your investment will be spread across one or more of our funds, which are separate legal entities to Margetts Fund Management.
Our funds are UK Authorised Collective Investment Schemes and they, as well as we, are authorised and regulated by the Financial Conduct Authority. You can check our authorisation, along with the authorisation of our funds, in the FCA Register at www.register.fca.org.uk.
We do not hold client assets on our balance sheet. Fund assets are held in safekeeping on your behalf by Bank of New York Mellon Ltd, one of the biggest depositaries and custodians in the world. If Margetts, as an authorised investment firm, go into default, your assets are protected. You continue to own your investment and the fund’s assets are still invested as before.
There may be some cash within your investments that is held on deposit, which is at risk from a failure of the bank. Cash usually only represents part of the asset allocation of a fund, and the manager may increase diversification further by spreading excess cash into money market funds.
Along with the depositary, we share a fiduciary duty of care to you. In the very unlikely event that either party fails, the other will appoint a replacement with the least amount of disruption possible.
As regulated firms, we are required to hold capital reserves and to plan for the worst outcomes, including the preparation of wind-down plans, so that our business could be closed in an orderly manner. In the unlikely event of a failure, which causes a loss, Margetts are part of the Financial Services Compensation Scheme (www.fscs.org.uk). If it is determined that the loss is caused by poor investment management by us, you may be entitled to up to a maximum of £85,000 compensation.
There may be a one day window when you make your investment or make a withdrawal where money will pass from you to us before being moved to a client account or paid to the custodian, known as delivery versus payment. This presents a small risk, which is outlined in the prospectus of each fund.
If at any stage you are unhappy with the service we provide, you should contact Client Services, Margetts Fund Management Ltd, 1 Sovereign Court, Graham St, Birmingham, B1 3JP. Telephone: 0121 236 2380. E-mail: admin@margetts.com. If you remain dissatisfied you may be entitled to refer your complaint to the Financial Ombudsman Service, Exchange Tower, London E14 9SR. Telephone: 0800 023 567. E-mail: complaint.info@financial-ombudsman.org.uk. Website: financial-ombudsman.org.uk