Because her asset manager puts everything on one card when investing, a pensioner is financially exhausted.
Author:
Flurin Maissen
21.01.2025, 16:33
It’s a story that’s hard to believe. A now 70-year-old woman inherited a fortune of almost one million francs years ago. But instead of enjoying a carefree retirement, she falls into financial nothingness. The catastrophic investment strategy of your financial advisor is to blame.
Review: In 2014, the woman concluded an asset management contract with Wendelspiess Partners AG, an asset management company licensed by the financial market regulator Finma. “I have repeatedly said that I only have a modest pension and that I will have to live on this money after retirement,” says the pensioner. Constant access to her money was the most important thing to her.
Shocking information: “We can’t do anything more for you”
Company founder Pius Wendelspiess always emphasized that he had everything under control: “We don’t let things get to the point where something happens. “We will intervene beforehand,” were his words. Everything goes well for a long time. The woman receives around 4,600 francs a month from Wendelspiess.
Who actually controls asset managers?
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In Switzerland, commercial asset management companies require a license from the financial market regulator Finma. This does not comment on the present case to “Kassenrutscht”.
Asset management must also be supervised by a so-called supervisory organization AO. In the case of Wendelspiess Partners AG, this is Fincontrol Suisse.
Upon request, they wrote: “The case in question is known to Fincontrol Suisse AG, and after receiving relevant information, Fincontrol Suisse AG immediately initiated various measures within the framework of the supervisory instruments available to it in order to comprehensively clarify and determine the facts.”
But from autumn 2023 payments will stop. And a few months later there is no more money flowing in at all. On the phone she received shocking information from Wendelspiess Partners AG: There was nothing more they could do for her. “I have all my assets with you and they say: ‘Yes, we can’t do anything for you anymore, we have to see for ourselves!’”
-All assets invested in a single fund
The problem: Pius Wendelspiess had put all of his assets – including pension fund capital – into a single fund: the WP Multi-Strategy Fund, worth over 80 million francs. The fund has been in major financial difficulties for some time. Ms. J.’s entire assets have therefore been blocked – for a year and a half.
Investment expert sees grossly negligent behavior
Christian Dreyer, CFA and independent financial analyst, describes the investment strategy as grossly negligent compared to “Kassenjagd”: “Because the asset manager invests all the assets in a single fund, which can become illiquid. What happened now.” In the worst case, the fund would no longer recover and could report a total loss.
Then all the money would be gone. “Because the fund is essentially invested in a single counterparty.” Namely in a Zug investment company. This is in liquidation. It is unclear to investors what will happen to their money.
Statement from Wendelspiess Partners AG
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“Kassenrutsch” sent the company Wendelspiess Partners AG an extensive list of questions about the case. The asset management only provides a summary statement on the specific questions as follows:
“We firmly reject the accusation of gross negligence. However, we very much regret the situation in which the customer says she finds herself. The matter is also extremely stressful for our company.
Those responsible at the companies in which the fund has invested have repeatedly promised us improvements. Unfortunately, all commitments so far have been unsuccessful.
We are currently examining how to proceed with legal representatives. Unfortunately, we have to refrain from commenting on the individual detailed questions because we do not want to pre-empt the legal clarifications and the customer has filed a claim for damages.”
If the fund collapses, the only thing left for the woman concerned is to sue the Wendelspiess company in court. But for this the pensioner needs money – money that she no longer has. How and whether she will take this step is a question that overwhelms her: “I can’t give an answer to that. I just want my money back and I hope someone will help me.”
Swiss
