I had requested that my Vanguard SIPP is transfered to Freetrade and Vanguard blocked it over FCA concerns.
It seems that there is an FCA restriction on Gaudi.
It seems (from chat messages from Freetrade) that this is to do with the SIPP provider to Freetrade employees, the restrictions are with Gaudi Trusee Limited. Not the SIPP provider to a Freetrade Customer…though they are both a “Gaudi”
I am awaiting information as to whether these entities are at all related.
This has caused second thoughts for me and is worth the community knowing - it is not he first time Gaudi are questioned.
We have been in contact both with our SIPP trustee (Gaudi Trustees Limited) and Vanguard to get this resolved. We understand that Vanguard will be restarting SIPP transfers to Freetrade.
Gaudi Regulated Services (a different entity) has entered into this agreement with the FCA. This does not impact the pension product we offer Freetrade customers.
It’s worth noting in the other cases it isn’t gaudi, it was a white label customer or other provider and gaudi took over the SIPPs accounts. The website linked misreported this, and seems to have caused people to believe it was gaudi in the wrong.
For clarity I assume you mean a different entity in relation to their company structure? I.e gaudi trustees limited is still part of the gaudi structure. Just the FCA restriction applies to the gaudi regulated services company its self not the assets under its management under gaudi trustees limited?
I.e the same setup as Freetrade limited vs Freetrade nominees limited?
No that’s broadly correct. We have been in close contact with Gaudi regarding this and we have determined that their ongoing discussions with the FCA do not impact their ability to administer our SIPP. Obviously this is something we monitor quite carefully and we will take action to protect our customers if needed.
We are in regular contact with Gaudi about this matter as well as the providers that are holding up transfers. As I said above, when we were notified about discussions with the regulator, we determined that there was nothing at issue that prevented Gaudi from fulfilling their duty as our SIPP administrator.
If there were we would take immediate action to move customer assets to another administrator.
We are in contact with the providers that have raised concerns (as are Gaudi) to clarify this matter promptly.
Your assets are held in line with the FCA’s client asset rules. This means that you have protections in the event that an administration were to lead to a shortfall (FSCS protection, up to £85,000). Client asset rules also require that assets are held by a non-trading custodian or nominee (in our case, Freetrade Nominees).
Transfers with Vanguard are fine. The current issue is with transfers from Fidelity. We are in contact with them and impacted customers and will get this resolved as soon as we can.