FCA restricts cash and asset movements at Odey Asset Management amid allegations

The Financial Conduct Authority (FCA) has imposed restrictions on the movement of cash and assets from Odey Asset Management.

Reports from the FT indicate that both Odey Asset Management and its associate firm, Odey Wealth Management, have voluntarily agreed to these restrictions.

The FCA aims to restore order following the departure of the firm’s founder, Crispin Odey, in light of high-profile allegations.

The imposed restrictions require Odey AM and Odey Wealth Management to conserve cash and assets for their regular business operations.

Additionally, the FCA mandates preapproval for transactions above a specified level, excluding those in the normal course of business.

Detailed information regarding these voluntary restrictions will be published by the FCA on Monday.

The regulator states that imposing restrictions during challenging periods is standard practice to ensure the orderly continuation of business operations.

Meanwhile, Odey AM has begun advanced discussions on selling or relocating funds after the former head of the firm faced allegations of sexual misconduct from 13 women.

In response to the allegations, several funds managed by Odey AM have been closed or gated, and financial institutions like Morgan Stanley and Goldman Sachs have severed ties with the firm.

Odey AM has released a statement acknowledging the ongoing investigation into the misconduct claims, expressing a serious commitment to addressing such allegations and highlighting the presence of robust policies and procedures.

Odey Asset Management has not provided a comment at this time.

© 2023 funds europe 

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