Woodford to return.

[Dod101]

Surely the root cause of the Woodford problems were that he had invested too much into the illiquid "off-piste" holdings, in contravention of the rules of the fund/trust. Then when withdrawals increased and those proportions worsened, the Directors were obliged to act.

Yes but don't confuse an open ended OEIC with an investment trust (which will never have the same liquidity problems) The Trust got into difficulty mainly as regards its internal performance when Woodford off loaded unlisted investments into it from his OEIC, coupled with having a totally ineffective Board of Directors because they appeared to be uncritically on his side.

Dod

[monabri]

I see both AsleepInYorkshire and ReallyVeryFoolish are quoted in the times today:

https://www.thetimes.co.uk/article/save ... 184454_101

I wonder if the economic editor at The Times is a Lemon?

[G37y]

A good bit of background infomation of what actually went wrong can be found here.
https://www.piworld.co.uk/2019/11/22/wh ... d-history/
I thought it was worth watching anyway

[Adamski]

Quoted in the Times, love it!! Wouldn't surprise me if this forum is a common source of ideas across the personal finance press without direct quotation, as we're one of only a few personal investing forums, and an active one with experienced and knowledgeable posters.

[fisher]

A good bit of background infomation of what actually went wrong can be found here.
https://www.piworld.co.uk/2019/11/22/wh ... d-history/
I thought it was worth watching anyway

I enjoyed watching this - thanks.

[AsleepInYorkshire]

Quoted in the Times, love it!! Wouldn't surprise me if this forum is a common source of ideas across the personal finance press without direct quotation, as we're one of only a few personal investing forums, and an active one with experienced and knowledgeable posters.

Which is why I ask why on earth did they quote me You could write my financial knowledge on the back of a stamp with a paint brush

AiY

[csearle]

I wasn't in Woodford, thank goodness. However, my "justice gene" runs deep and I find the behaviour of some irks. Mr Woodford could scale down his own personal wealth, buy a preowned van and lawnmower and offer to cut the lawns of those who have lost money due to his actions.

You tarting for another quotation? C.

[AsleepInYorkshire]

I wasn't in Woodford, thank goodness. However, my "justice gene" runs deep and I find the behaviour of some irks. Mr Woodford could scale down his own personal wealth, buy a preowned van and lawnmower and offer to cut the lawns of those who have lost money due to his actions.

You tarting for another quotation? C.

I'm always tarting

AiY

[csearle]

His mistake was timing - he started on his own at the wrong time, and because of this he was forced to make the investments he did, and events went against him, but how many investment / platform managers can we mugs really trust to get it right for us, I would suggest a lot have no more interest in our money than he had.

This of course was(/is?) the central tenet of The Motley Fool, our Herkunft, which sought to empower the private investor to take control of his/her own finances, not least because of the potential conflict of interest with organisations investing on our behalf.

Chris

[nmdhqbc]

Not sure if this should be a separate thread but does anyone know much about these litigation cases? Whether they are advisable to join? The charges seem high at "35% of your damages, plus VAT" but what other way is there to get back as much of the losses as possible?

https://woodfordclaim.com

[richfool]

The return of Woodford isn't going away quietly and rightly so. Gina Miller has now added her opinion!

Gina Miller, a fund manager and co-founder of the True and Fair Campaign who shot to fame for her Brexit Supreme Court case, said Woodford's plans made a "mockery" of UK regulation and were an "insult" to investors who backed his last venture.

"Too often the perpetrators of financial wrongdoing seem to slip off the hook, many to start up new lucrative operations while it is ordinary savers who suffer the brunt of this wrongdoing," Miller and her husband Alan wrote in a letter sent to the Treasury Select Committee on Wednesday.

https://uk.finance.yahoo.com/news/neil- ... 11804.html

[Matchless]

The Millers seem to seek fame, any way they can get it for whatever reason - I will choose to ignore anything they say about anything.

[Dod101]

The Millers seem to seek fame, any way they can get it for whatever reason - I will choose to ignore anything they say about anything.

I cannot say I find her a very pleasant character. I do not know anything about the other half but in fact, from the report I read this morning they are absolutely right in this case and it seems to be pertain to their line of business, so I say good luck to them.

Dod

[PinkDalek]

The FCA's statement, originally published 16 February 2021, is here:

Statement by Mark Steward, FCA Director of Enforcement and Market Oversight, on Woodford Investment Management Ltd and WCM Partners Ltd
https://www.fca.org.uk/news/statements/statement-mark-steward-fca-director-enforcement-market-oversight-woodford-investment-management

[Pipsmum]

He's been scolded here but it doesn't help all those with burned funds and smouldering resentments.

https://www.telegraph.co.uk/business/20 ... regulator/

[Matchless]

Some of us got very badly burned by the Scottish banks and many other investment mistakes we/they made, and perhaps some of those involved have gone on to try to make a go of other stuff without the mob screaming for vengeance - no one forces us to invest in anything.

[Leif]

The Millers seem to seek fame, any way they can get it for whatever reason - I will choose to ignore anything they say about anything.

I cannot say I find her a very pleasant character. I do not know anything about the other half but in fact, from the report I read this morning they are absolutely right in this case and it seems to be pertain to their line of business, so I say good luck to them.

Dod

She is a rather self indulgent individual. I found it difficult to listen to her narcissistic emoting during the Brexit saga.

As regards Woodford, it seems to me that an awful lot of people praised him when all was hunky dory, only to turn on him when it went south. The finance industry is full of villains. You only have to look at some company pension funds that are woeful, albeit efficient fee generators. Lots of equity funds close down each year, having failed to achieve the lofty claims in marketing bumf. A cynic might think the managers knew they would be dogs, and cared only about trousering a nice wodge, before moving on to the next heavily marketed adventure.

The question to be asked is did he do anything illegal, or knowingly break industry regulations governing fund management.

[Dod101]

Thanks Leif

I tend to be unmoved by the likes of Woodford and have never bought in to any of his funds so am not involved. He certainly stretched the meaning of 'unlisted' when trying to reduce his exposure to unlisted investments but he would not as you say, be the first to do that sort of thing.

I am no great investor and I long ago came to the conclusion that I can lose money just as well as the next man and do not need to pay an adviser to do that for me. It will be interesting to see if the FCA can pin anything on him. True to form, probably not in the end.

Dod

[Dod101]

The Times this morning reports that the Jersey regulator is 'disappointed' that Woodford had announced he was starting a new business in Jersey without having first sought its authorisation. He did not even acknowledge that his plans were subject to regulatory approval.

Terry Smith has quite predictably waded in as well, questioning the apology Woodford has made to his erstwhile investors.



Dod

[toofast2live]

C’mon guys. Mistakes happen. Look at Andy “boy wonder” Hornby who “headed” up HBOS in 2008. Allegedly didn’t understand his ar*se from his elbow as far as banking was concerned. Now an expert chairman of a restaurant group!

These big guys lack humility, talent and skill. But boy, self confidence and hubris floats a damn big boat!