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Investment firm files for liquidation

Investment firm files for liquidation

A company describing itself as "London's premier investment boutique" has filed for liquidation.

According to its website, KBW Associates Ltd provides a "tailored, personal service" and offers three types of trading account: managed, execution only and advisory service.

This morning the Financial Conduct Authority issued a notice saying any client who is considering submitting a claim should contact the Financial Services Compensation Scheme to discuss this.

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The regulator added that clients who have already complained to the Financial Ombudsman Service should speak to their case handler to discuss next steps, including whether their complaint will be transferred to the FSCS.

According to the Fos register, no complaints against KBW have been ruled upon in the past year.

KBW's website lists five products which the company is involved in: contracts for difference, self-invested personal pensions, equities, foreign exchange and futures and options.

The FCA’s analysis of client accounts for CFD firms found 82 per cent of clients had lost money on these products – and there was evidence these losses tended to be higher when sold on an advised basis rather than a non-advised basis.

Analysis across the European Union found that between 74 and 89 per cent of retail accounts trading in CFDs typically lose money, with average losses per client ranging between €1,600 (£1,450) to €29,000 (£26,287).

damian.fantato@ft.com