Regulations

Story: FCA Steps In as UK Wealth Manager LCM Family Enters Administration

By Evie Vavasseur

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Dual Regulation Made Things Messy. LCM operated under two regulators at once. The FCA watched over its financial advisory work, but…

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FCA Warns About Scammers Circling. The regulator put out guidance for worried investors pretty fast. One big concern?

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What Clients Should Do Now. Anyone with money tied up in LCM needs to gather their paperwork.

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LCM Family Limited went into administration yesterday. The firm, which used to go by LCM Wealth Management Limited, appointed Louise Longley and Gary Shankland of BTG Begbies…

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The collapse didn't come out of nowhere. Two weeks before the administration kicked in, LCM agreed to a voluntary requirement with the FCA that basically stopped most of what it…

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LCM operated under two regulators at once. The FCA watched over its financial advisory work, but the Solicitors Regulation Authority also kept tabs on the firm because it offered…

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The joint administrators now have to sort through client accounts and figure out what happens next.

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Wealth management firms going into administration always raise questions about client money protection.

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The regulator put out guidance for worried investors pretty fast. One big concern? Fraudsters pretending to be from LCM or the administrators.

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The FCA told investors to verify any contact they get. Don't trust a phone call or email just because someone says they're from BTG Begbies Traynor.

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More context: FCA Wants IPO Research Rules Scrapped as UK Fights for Listings

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Investors need to reach out directly to the joint administrators if they want real information about their accounts.

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The timing of the voluntary requirement matters. April 14 to April 28 is just 14 days. That's not much time between restricting a firm's activities and putting it into full…

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Anyone with money tied up in LCM needs to gather their paperwork. Account statements, investment records, correspondence with the firm—all of it could matter.

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The FCA's ongoing supervision means the regulator is watching how Longley and Shankland handle the administration.

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