STM makes £2.7m profit from Carey Pensions

Despite increased client numbers, the company expects Carey Corporate to remain loss making for 2019 at £600,000, but with an anticipated break-even from early 2020.

Carey Pensions is still embroiled in a court case with an investor who argued it had a duty of care towards him when allowing him to set up a Sipp to make unregulated investments, despite the sale being classed as execution-only.

Carey argued it was not responsible for the client’s failed investments as he invested on an execution-only basis and signed a contract saying this was his choice.

But the Financial Conduct Authority, which presented its views in court, maintains a Sipp provider cannot shirk its responsibilities in such a scenario.

STM stated at the time it had secured indemnities as well as the benefit of significant existing professional indemnity cover from the sellers and considered any "residual exposure to this and any other historic industry issues, to be minimal".

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