WealthTek LLP – Appointment of Special Administrators

WealthTek LLP – Appointment of Special Administrators

12 February 2024 - Update to Clients

As Clients will be aware, the Joint Special Administrators (“JSAs”) have been working to produce the Client Assets Statements which detail, on an account basis, each Client’s claim to Client Assets and their Client Money Entitlement. The Client Assets Statements also set out the anticipated level of recovery of Client Assets and any resulting shortfall claim.

The JSAs have provided Clients with the option of receiving their Client Assets Statements either through an online Client Portal or in hardcopy by post.

For those Clients who opted to receive their Client Assets Statements through the online Client Portal, you will have received an email during the week commencing 5 February 2024 providing you with access to your Client Portal. You will receive an email during the week commencing 12 February 2024 informing you that your Client Assets Statements are now available on your Client Portal.

If you have opted to receive your documents in hardcopy by post, your documents will be sent out in the week commencing 12 February 2024.

The JSAs’ team are available to answer any queries you may have regarding your Client Assets Statements, but please note we do expect phone lines to be busy over the next few weeks. If you are happy to, please email the JSAs’ team setting out the details of your query and one of the team will contact you to discuss at the earliest opportunity.

Email: WealthTekClients@bdo.co.uk

Telephone: +44 (0)113 521 4470 or +44 (0)151 351 4700

6 October 2023 – Notice to Clients

Clients and creditors may be aware that Vertem Asset Management was a trading name previously used by the LLP.

The Joint Special Administrators (“JSAs”) have become aware that the website: www.VertemAssetManagement.com, which was previously used by the LLP, has recently become active following the expiration of the LLP’s registration of the domain name.

Please note that this website and/or the entity that has acquired the registration of the domain name, has no connection or affiliation with the LLP or the JSAs.

Clients and creditors of the LLP seeking information regarding the Special Administration of the LLP are advised to contact the Joint Special Administrators directly using the previously provided contact details, which are repeated below:

Postal address: WealthTek Team, BDO LLP, Business Restructuring, 5 Temple Square, Temple
Street, Liverpool L2 5RH
Telephone: +44 (0)113 521 4470 or +44 (0)151 351 4700
Email: WealthTekClients@bdo.co.uk or WealthTek@bdo.co.uk

6 April 2023 – Notice of appointment of Special Administrators

With effect from 6 April 2023, WealthTek Limited Liability Partnership (the ‘LLP’ or ‘WealthTek’), trading as Vertem Asset Management and Malloch Melville, has been placed into Special Administration following an application to the High Court by the Financial Conduct Authority (‘FCA’). Shane Crooks, Mark Shaw and Emma Sayers, licensed insolvency practitioners from BDO LLP, have been appointed as Joint Special Administrators (the ‘JSAs’).

The Special Administrators are now responsible for the affairs of the LLP.

In accordance with the statutory objectives contained within the Investment Bank Special Administration Regulations 2011 they must: (i) ensure the return of client assets as soon as reasonably practicable; (ii) ensure timely engagement with market infrastructure bodies and authorities; and (iii) either rescue the firm as a going concern or wind it up in the best interest of the creditors. Further information in respect of the Special Administration and what this means for clients and creditors of the LLP, together with some FAQs, is provided below.

The Joint Special Administrators will be writing to all clients and creditors of the LLP. If you have any queries in respect of the appointment of the Joint Special Administrators or your claims against the LLP, please contact: WealthTekclients@bdo.co.uk.

The LLP remains regulated by the FCA, albeit certain restrictions are now in place to prevent WealthTek (including under its other trading names) from undertaking any regulated activities. The Joint Special Administrators are working closely with the FCA as they carry out their duties. On 4 April 2023, the FCA imposed requirements for the LLP to immediately cease carrying on all regulated activities for which it has a Part 4A permission (other than where it has express written consent of the FCA).

Under the provisions of paragraph 100(2) of Sch. B1 to the Insolvency Act 1986, as applied pursuant to regulation 15 of the Investment Bank Special Administration Regulations 2011, the Joint Special Administrators carry out their functions jointly and severally and any one or more of the Joint Special Administrators has exclusive power to exercise any function. The Joint Special Administrators act as agents of the LLP and without personal liability.

Please note that Shane Crooks, Mark Shaw and Emma Sayers had previously been appointed as Joint
Interim Managers with effect from 4 April 2023. Their appointment as Joint Special Administrators
has superseded their previous appointment.