The FCA has warned customers of London investment firm HDH Investment Services Limited (FRN 733137)that the firm may have given unsuitable financial advice.
The regulator warned that the unsuitable advice may potentially leading to financial loss for customers.
The FCA said it recently placed restrictions on HDH Investment Services which meant from 20 January the firm agreed to stop carrying out all regulated activities. The new warning now means the firm can't give investment advice and cannot hold and cannot control client money.
The regulator said HDH also agreed to write to all customers to explain what the restrictions mean for them.
On its website, HDH says: “The FCA has published restrictions on certain regulated activities that we are permitted to undertake in the UK. As a result, HDH Investment Services Limited is currently unable to carry out restricted activities, e.g., advising on investments, arranging deals in investments, until such time as those restrictions are lifted or varied by the FCA.
“We remain committed to meeting all regulatory expectations and are actively engaging with the FCA to address the matters that gave rise to the restrictions.
“These restrictions are regulatory in nature and reflect the FCA’s supervisory process designed to protect consumers and market integrity.”
HDH website
HDH is based in Westminster in London and has been authorised since July 2016.
The FCA told HDH customers: “If you think you were given unsuitable advice, or you're unhappy with the service you received from HDH, you have the right to complain.”
It added a warning that people are being increasingly targeted by recovery room scams. This includes where fraudsters approach investors who have been given unsuitable advice, offering to help them for an upfront fee.
The FCA said: “If you're a customer of HDH, you may be contacted directly by the firm. However, if you're unsure whether a call is genuine, end the call immediately and contact them using the details on Firm Checker.”