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frogway
03-09-2010, 08:33 PM
We were still adjusting to the shock of hearing that the money we had invested in Credit Sails was almost certainly gone forever, when a cheque for a few hundred dollars arrives in the post with a note stating that this was the full payout of our $10,000 + investment with Babcock & Brown Infrastructure Group which had gone into receivership. Both investments were part of a 'conservative' portfolio set up for us by a prominent NZ stockbroking organisation.

The Credit Sails thing is being investigated, but we have heard nothing about any investigation of Babcock & Brown. WHere can one turn for help in a situation like this? Any adivce would be appreciated.

peat
04-09-2010, 03:38 PM
first thing for you to do frogway is to contact your broker and ask them to explain to you the situation as regards your two investments. and why a conservative portfolio has been destroyed.

I'm not familiar with these companies so I cant explain that to you but I did find
http://www.interest.co.nz/news/90-seconds-9-am-hubbard-move-damaged-scf-refunding-drive-forbars-credit-sails-warning-fed-sees-softn
which says that "the decision about whether to pass on the warnings about Credit Sails was left up to individual advisors" so try to get hold of your previous advisor and get them to explain.
If you're not happy with their explanation then ask them who they are registered with for dispute resolution and contact whoever that is.

percy
04-09-2010, 07:39 PM
peat I have been thinking about frogway's problem and am glad you have posted.I thought he may be best to either seek legal advice,or to formaly write to the adviser and state that he is surprised that these two investments were duds as he had asked for a conservatice portfolio; and could the adviser explain why he did not follow instructions ..I would think a written record or paper trail would be better than an oral conversation.I know you could come up with a cracker letter.!!!

peat
04-09-2010, 08:49 PM
written record or paper trail would be better
very true, legal advice could get pretty costly, may defeat the purpose , depends on the size of the investment as to whether it's worthwhile.

depending on the circumstances it would be interesting to ask why he didnt get you out of Credit Sales if a company warning had been issued by your broker - it sounds as if there may have been time.

JBmurc
06-09-2010, 10:10 AM
We were still adjusting to the shock of hearing that the money we had invested in Credit Sails was almost certainly gone forever, when a cheque for a few hundred dollars arrives in the post with a note stating that this was the full payout of our $10,000 + investment with Babcock & Brown Infrastructure Group which had gone into receivership. Both investments were part of a 'conservative' portfolio set up for us by a prominent NZ stockbroking organisation.

The Credit Sails thing is being investigated, but we have heard nothing about any investigation of Babcock & Brown. WHere can one turn for help in a situation like this? Any adivce would be appreciated.

The good reason why I left using a broker 10yrs+ ago your far better of investing your own funds -Forums like ST are great places to freely talk about shares an make your own mind up where to invest it's sad to here your conservative approach was such a disaster much like many mum & dad&retirees that went for the so called low risk A+ mortgage backed Financial companies with there higher yields to then lose everything an as of late TAX payers having to bail out more of these high risk loaners --to think if your'd spread you funds over 6-7 jnr resource shares-Oil gold etc your'd most likely be up today (Talk to any broker will tell you this is very high risk LOL)

Shrewd Crude
08-09-2010, 03:10 AM
What can one do when the company goes bust?

Find a new company...
:cool:
.^sc