Not upheld: inadequate annual reviews and suitability of ongoing investment advice complaint against St. James's Place Wealth Management Plc (SJPWM)

Decision detail

Summary

Mr T complained that SJPWM failed to provide satisfactory annual reviews of his pension investment since 2013, questioning whether his attitude to risk and capacity for loss were properly assessed and whether his financial vulnerability during business difficulties was considered. The ombudsman applied strict time limits under DISP rules and could only investigate reviews from April 2018 onwards. The ombudsman found that SJPWM provided documented annual contact and reviews throughout this period, that Mr T's medium-risk ATR was appropriately assessed and remained suitable, and that his personal financial circumstances (including £50,000-£60,000 in cash savings) supported continued investment. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman applied DISP 2.8.2R time limits and determined that only reviews from April 2018 onwards could be investigated, as Mr T should have reasonably expected annual reviews from the outset and could have complained within six years of each review. The ombudsman found that SJPWM provided documented annual contact during the investigable period, that Mr T's ATR and capacity for loss were appropriately assessed and remained suitable, that his investment objectives remained unchanged, and that early exit charges were clearly disclosed. The ombudsman rejected Mr T's claims regarding vulnerability during business difficulties, noting that SJPWM was advising on personal finances and Mr T's personal financial position remained adequate. The absence of recommended changes in any given year was not indicative of failure but rather that existing arrangements remained suitable.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website