The City regulator has strongly criticized ex-leading investor Neil Woodford and indicated a potential £50m fine for the management of his failed fund.
The Financial Conduct Authority (FCA) criticized Mr. Woodford for a “flawed and overly limited understanding” of certain duties and mentioned plans for punitive measures against him.
Mr. Woodford’s legal representatives have expressed disagreement with these conclusions.
Additionally, the FCA accused Link Fund Solutions of poorly managing the liquidity of the Woodford Equity Income Fund following its suspension, complicating investors’ ability to withdraw their funds quickly.
The FCA decided not to fine Link, reasoning that it would reduce the funds available for reimbursement to the investors who suffered losses.
Link responded on Thursday, stating, “LFSL (Link Fund Solutions Limited) agreed to a conditional settlement with the FCA and Link Group without admitting fault. Without this agreement, LFSL would have contested the FCA’s findings and defended against any investor claims.”
