30% return annually....yeh right!

[JPW]

I've just done a couple of google searches and the articles I found note that there was no auditor. Surely if you are investing significant amounts of your capital in a managed fund, having an auditor would be one of your prerequisites!

Lord have mercy!

[BIRMANBOY]

This was my point earlier in the thread. It should be a compulsory audit annually by independant (and qualified Govt. auditor) who would be required to delve into all aspects of the business. If they dont pass...they should be shut down until they are cleared for action. Their ability to offer investment advice and take in funds should be subject to scrutiny much more closely. This at least restricts the damage a rogue advisor/ fund can do to a year instead of building up and compounding over many years.

I've just done a couple of google searches and the articles I found note that there was no auditor. Surely if you are investing significant amounts of your capital in a managed fund, having an auditor would be one of your prerequisites!

[macduffy]

It doesn't seem to have been a "managed fund" but rather investments made on individuals' behalf, often on the recommendation of others. Big amounts, so probably regarded as "sophisticated investors" with all that goes with that esteemed status!

No prospectus, therefore no trustee. No regulatory oversight until complaints to the FMA.

At least, that's how I read it.

[Xerof]

yes, you could well be right there macduffy, they either qualified as close business associates or met the thresholds for 'sophisticates'

which is relatively easy to meet these days - assets of 2 mill and/or income over 200 or 250k, forget which

[janner]

No matter how stupid we on here are with some of our investments.. I think that it would be a frosty friday before advice would be given by any one on here to invest in such a mannner..

Shades of Peter Paul and Mary !!.. When will they ever learn ???