Financial Conduct Authority  

FCA removes permissions from fifth firm in investment group

FCA removes permissions from fifth firm in investment group

The Financial Conduct Authority has removed permissions from another firm “connected” to a group of companies offering unprotected investments.

The FCA has removed permissions from Renaissance Advisory Ltd, a firm it authorised in March, over concerns about investments it may have been offering.

The regulator said Renaissance Advisory was linked to Marvell Enterprises, a credit broker it removed the permissions of  after authorising the firm in January.

The FCA said: "Renaissance is connected with Marvell Enterprises Ltd, which we recently issued a consumer warning about. Marvell appeared to have been carrying out investment activities for which it did not have permission and consumers may have invested substantial sums in bonds or loan notes issued by Marvell. 

“Consumers may have been misled about the scope of Marvell’s permissions and the protection afforded to their investments. Due to this connection, we are concerned that Renaissance may also be offering investments to customers.”

In the past few months, the FCA has published consumer warnings against a number of potentially connected firms that may have been offering unprotected investments to customers.

Included in the list was Cavendish Incorporated Ltd, Sentor Solutions Commercial Ltd, Marvell Enterprises Ltd and Grosvenor Associates Ltd.

All of these firms were only authorised by the FCA to conduct credit broking activities.  

However the regulator said it believes that these firms, and the investments they may have been offering, may be connected. 

It said: “We believe these firms may be part of a network of credit brokers that are offering investments to consumers which may not be protected. Customers are strongly encouraged to see the information available on our website before making any payments in relation to investments.  

“Customers are also advised when considering an investment to check both that they are dealing with a firm that is authorised and that the firm holds investment permissions.”

The FCA said Marvell and Grosvenor, which it removed permissions from last month, "may be connected" to two other firms which the FCA has taken action against - Sentor Solutions Commercial and Cavendish Incorporated.
In September, Sentor was prevented by the FCA from carrying out any regulated activites without prior written consent from the regulator.

Cavendish Incorporated was subjected to the same restriction in August.

The FCA said: “We encourage customers to be extra vigilant when approached by an authorised credit broking firm offering investments,” it said.

sonia.rach@ft.com

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