STOCKBROKING groups have been invited to voice their concerns about their share of the £326m compensation bill for the collapse of financial products seller Keydata at two meetings being arranged by Tim May, the chief executive of their trade body, the Association of Private Client Investment Managers (Apcims).
May has arranged meetings, one in London and one in the regions, at which regulators will be present to hear the distressed views of many of his members.
The firms are incensed by the size of the levies they are being presented with and by the speed – 30 days – with which they are being asked to pay up. Firms say the size of the demand from the compensation fund was in some cases up to 20 times what they expected.
Yesterday stockbroker Walker Crips revealed that it had been asked to pay a levy of £220,000, higher than it expected. Brewin Dolphin’s £6m charge is the largest so far.
As well as the Apcims meetings, the Investment Management Association (IMA), whose members include Aviva Investors and Aberdeen Asset Management, is taking legal advice over whether to challenge the levy imposed on its members through a judicial review.