You can claim from the Financial Services Compensation Scheme if you’ve lost money because of poor investment advice about:
- managed funds
- stocks and shares
- personal pension plans
- long-term investments like mortgage endowments.
You would only apply to the scheme if the company that gave you the advice has gone out of business.
Otherwise it might be a good idea to talk to the company itself first.
You're not entitled to compensation just because an investment performs badly or you lose money.
Your loss must be because of any of the following:
- bad or misleading advice
- negligent management of investments
- fraud or misrepresentation (for example, if you were told the investment was a particular kind of investment and it was something else and you relied on what you were told when buying the investment).
If you asked for an investment with a very low risk of losing your money and your adviser recommended a high-risk investment, you might have a claim for compensation if you lost money as a result.
But if you deliberately took on a high-risk investment and then lost some of your money, you wouldn't have a claim.