The discretionary fund manager made an application to the court to formally initiate insolvency proceedings under SAR having reached an assessment that it was no longer solvent. Strand has approximately 3,000 customers, says the FCA.

The joint special administrators are Adam Stephens and Henry Shinners of Smith & Williamson and Virgil Levy of LA Business Recovery Limited. The special administrators will carry out an assessment of the client money and assets held by the firm to confirm the current position.

Following the assessment the special administrators will return as much client money to customers as quickly as possible, says the FCA. If the assessment of client money results in Strand’s clients not having all of their money returned, they may have access to the Financial Services Compensation Scheme, depending on their individual circumstances.

The Special Administration Regime (SAR) was introduced by the Government in 2011 to help resolve situations where investment firms, which hold client money and/or assets under the FCA’s Client Assets Sourcebook rules, fail. The SAR process has a number of objectives and one of these is to ensure money is returned to customers as soon as is reasonably possible.

The special administrators will contact all affected customers in due course. If Strand customers require more information about how they will be affected, they should visit the website http://www.smithandwilliamson.com/, email This email address is being protected from spambots. You need JavaScript enabled to view it. or call 020 7131 8452.