Beaufort customer information

This page is for customers of Beaufort Securities Limited (BSL) and Beaufort Asset Clearing Services Limited (BACSL) who were placed into Special Administration in March 2018.

We will continue to update this page with the latest developments. You can also get notification of the latest updates by following FSCS on Twitter and Facebook.

 

21 November, 2018

We have started sending letters to customers who were transferred from Beaufort to the Share Centre on 24 September 2018. The letter explains our role in reuniting customers with their money and assets and sets out the terms and conditions of the payment. It also tells customers that we have entered into an agreement with the Joint Special Administrator to meet the costs of the Special Administration on their behalf. The letter is for information only and there is no need for action.

14 November, 2018

More than 3000 additional clients can now start to access their cash and assets after PwC, the joint administrator, reached an agreement with the broker, The Share Centre. Clients were able to access their money and assets from Monday 12 November. Any remaining client cash and assets not so far transferred, but still eligible for transfer, will be moved to relevant nominated brokers as soon as possible.

5 November, 2018

Around 350 clients, mainly in Wales, can now start to access their cash and assets. This is after PwC, the joint special administrators, reached an agreement with AF Private Wealth to transfer a further group of Beaufort customers. These clients are mostly previous customers of Beaufort’s Colwyn Bay office. The client money and assets remaining with Beaufort, will be moved to nominated brokers as soon as possible. The next set of client transfers is expected to take place on the weekend of 10/11 November 2018.

25 October, 2018

We’re continuing to work with PwC on completing our investigation into claims of negligence against Beaufort Securities. The investigation will determine the process we use to assess claims brought against the company, their eligibility and how we’ll compensate customers with valid claims. We expect to finalise the process for assessing claims by 16th November. We will be in a position to provide further updates at this time.

25 September, 2018

PwC the joint special administrators, have now transferred the first tranche of client money and client assets to the nominated broker, The Share Centre Limited (TSCL). This transfer covers over 12,000 customers.

If your money and assets are yet to be transferred, you don’t need to do anything - we’re expecting further transfers of customer accounts to happen soon. We’ll continue providing updates on this page, as will the joint special administrators on their page.

Media outlets can read our related press release here.

9 August, 2018

The Financial Services Compensation Scheme (FSCS) is glad to announce that the vast majority of clients of Beaufort Asset Clearing Services will get back all their cash and assets.

The distribution plan was agreed by Beaufort’s creditors’ committee on 13th July, and was approved by the High Court on 26 July 2018, and became effective on 27 July 2018.

It lays out how the administrators working with FSCS, plan to return BACSL customers’ money and assets. 

Further details of the distribution plan can be found on PwC’s website

PwC have confirmed that customers holding the vast majority of client money and client assets are engaged in the process, with most agreeing with the company's books and records. Any clients not yet engaged in the agreement process should  log into the Client Claims portal  or contact the helpline 08000639283 / client.services@beaufortsecurities.com as soon as possible.

The plan provides for the return of client money and client assets in September 2018 via a transfer to a nominated broker.

Transfer of client money and assetsOn 8 August 2018, PwC announced that the principal nominated broker has been chosen for the transfer of client money and assets: The Share Centre Limited (TSC) is authorised and regulated by the Financial Conduct Authority (FCA) under reference 146768. PwC aim to commence the transfer process as soon as possible, and expect that a large proportion of the client assets and client money will be transferred in a first tranche at the end of September 2018. Find out more here.

FSCS will enter into an agreement with PwC to meet the shortfall arising from PwC's costs for eligible clients. FSCS will arrange for these costs to be met directly with PwC. This will mean that the costs will not need to be taken from client assets and client money.

We expect nearly all of the firm's individual and small business customers will be protected by FSCS so that assets and cash can be returned without any loss.

We are working with PwC to make sure the return of assets and cash is done in the most efficient and streamlined way. This  will minimise inconvenience to customers and control the cost to the levy payers who fund FSCS.”

About Beaufort Securities Limited (BSL) and Beaufort Asset Clearing Services (BACSL)

Beaufort Asset Clearing Services Limited was placed in Special Administration by UK regulators in March 2018.  This was shortly after the US Department of Justice brought criminal charges against the company for its alleged involvement in securities fraud and money laundering.

What is the difference between Beaufort Securities Limited and Beaufort Asset Clearing Services Limited?

As a client making investments with Beaufort all client correspondence will have been branded as Beaufort Securities Limited. Beaufort Asset Clearing Services Limited provide the clearing and custody services to Beaufort Securities Limited.  All client money and assets were therefore held with Beaufort Asset Clearing Services Limited.

How many customers have been affected?

There are approximately 17,000 retail clients and approximately 500 corporate clients in Beaufort Asset Clearing Services Limited.

What do customers of Beaufort Asset Clearing Services Limited need to do?

We expect the vast majority of customers affected will not lose any money as a result of the firm entering administration.

Customers do not need to contact FSCS to make a claim as FSCS is seeking to pay compensation automatically to an account held for the benefit of eligible clients. PwC will take all relevant costs from this account, so they do not need to be taken from clients’ assets and money.

If you have not already done so, customers should log into PwC’s portal to agree your balances of client money and client assets.

What if you think you have a claim against Beaufort Securities Limited?

The return of funds will be dealt with under Beaufort Asset Clearing Services Limited but if you think you have further losses through your dealings with Beaufort Securities Limited you can make a claim to FSCS using our claims service.

As this would be a claim against a separately authorised firm, a further £50,000 limit of FSCS compensation would apply.

What happens if I had money invested in Beaufort through another third party?

FSCS is working with PwC to determine whether the underlying clients of these companies will be covered by FSCS.

Where can I get more customer information?

The Financial Conduct Authority have additional information for Beaufort customers.

PwC have a helpful Q&A for Beaufort customers.