Beaufort Securities Client campaign - presentation by ShareSoc
Introduced by Mark Northway
Presented by Mark Bentley
ShareSoc’s Mark Bentley discusses the Beaufort Scandal – an insight into the reasons behind the current debacle, the ignoble roles played by the FCA and PWC in this tragedy, ShareSoc’s initiatives to improve the outcome for Beaufort’s clients and the wider implications for UK investors.
http://www.piworld.co.uk/2018/05/19/sharesoc-beaufort-securities-client-campaign/
Events at Beaufort - 01:33
So you thought your assets were safe? – 02:54
Lord Lee’s question – 03:50
PwC’s bombshell - 04:50
What ShareSoc did next - 06:20
Campaign objectives - 09:27
Campaign membership - 12:45
Forming the SBCC - 13:30
Client and creditors meeting - 15:22
ShareSoc campaign priorities - 17:22
Key questions for the FCA - 18:43
Ongoing and future battles - 20:43
What can investors do? - 22:10
How long will it take to resolve? - 24:25
Q&A – 26:24
I see this as a broader issue than one just affecting Beaufort Securities clients.
If ring fencing is not actually effective, then all stockbroker accounts are at risk in the long term. Brokers get bought & sold. What is a solvent broker today might be loaded up with debt in 5 years time.
What's needed is an electronic share register, so we actually own our own stock directly.
This works in Singapore, so I see no reason why a much larger market, with economies of scale cannot do the same.
Additionally, in Singapore, of course the system means you can buy with one broker and sell with another, if you choose. Therefore, with proper adaptation, a UK system should increase the portability of ISAs, SIPPs etc, therefore increasing competition for the benefit of the consumer. Perhaps that's one reason why it's not happening.
