Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

FSA to ban Arch Financial Products chiefs and impose £850k fine

FSA to ban Arch Financial Products chiefs and impose £850k fine

The Financial Services Authority is seeking to ban two Arch Financial Products bosses and impose a fine of £850,000, for failings over conflicts of interest.

The watchdog has published its Decision Notices relating to Arch Financial Products, the firm’s chief executive Robin Farrell and its former compliance officer Robert Addison, in which the FSA states its aim of banning Farrell and Addison from regulated financial services.

The FSA also wants to fine Farrell and Addison £650,000 and £200,000 respectively.

The watchdog said it would have fined AFP £9 million for misconduct were it not for the firm’s financial position. Instead, the FSA has issued a public censure.

The FSA said AFP was ‘in a position of trust’ which is undermined by not demonstrating fair management of conflicts of interests.

AFP also pursued an investment strategy which resulted in significant liquidity risks for the funds.

Tracey McDermott, director of enforcement and financial crime, said: ‘When making investment decisions, a fund manager should ensure that it puts investors’ interests ahead of its own and be able to demonstrate that it has managed conflicts of interest.

‘Those with responsibility for managing authorised firms must ensure not only that the firm complies with regulatory requirements but also that they personally act with the highest standards of integrity.’

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Potential US rate rise, cheap oil & the Europe opportunity

Potential US rate rise, cheap oil & the Europe opportunity

This week we analyse the implications of a possible rise in US interest rates, the impact of cheap oil and the European equity opportunity.  

Play Carmignac's Crowl: what QE could mean for Europe

Carmignac's Crowl: what QE could mean for Europe

The ECB is widely expected to finally fire its QE gun this week. Carmignac's Sandra Crowl discusses the implications for the eurozone.

Play Grexit worries, currency wars and a grizzly outlook for 2015?

Grexit worries, currency wars and a grizzly outlook for 2015?

The first Investment Pulse of the year looks at the potential impact of Greece leaving the euro, volatility in currency markets and the UK’s economic prospects.

Your Business: Cover Star Club

Profile: DIY investing is biggest threat to industry, says Whitechurch

Profile: DIY investing is biggest threat to industry, says Whitechurch

The industry is at risk of pushing potential investors down the DIY route unless it does more to make its services accessible says the Whitechurch Securities boss

Wealth Manager on Twitter