On 12 March 2021 the FCA imposed a number of restrictions on Dolfin Financial (UK) Ltd (Dolfin/ the Firm) stopping it from carrying on any regulated activities due to concerns about the way it conducts its business.
What does Dolfin do?
Dolfin is a wealth management firm. It provides wealth management services to retail and professional clients on a range of investment securities, such as shares, government and corporate bonds, and investment funds. The firm also provides Tier 1 investor visa services.
What are the FCA restrictions?
The restrictions will stop Dolfin from carrying on any regulated activity and prevent it from reducing the value of its assets, or any of the client money or custody assets it holds, without the consent of the FCA.
A full description of the restrictions on the firm can be found on the FCA Register.
Why did the FCA impose these restrictions?
The FCA has identified a number of serious concerns around the way that Dolfin operates its business, including the firm’s Tier 1 investor visa business activities and financial crime controls.
The FCA has been working with Dolfin while it took steps to try and address these concerns, including imposing voluntary restrictions on its regulated activities on 24 December 2019, and commissioning a Skilled Persons Review.
However, following the conclusion of the Skilled Persons Review and developments that have taken place since, the FCA has determined that it is appropriate in the interests of protecting the integrity of the UK financial system to stop the firm from carrying out regulated activities and has imposed these restrictions.
What has happened to my client money and custody assets?
Dolfin is still holding your client money and custody assets and will continue to do so in accordance with the FCA rules.
Can I take money out of my accounts with Dolfin?
You will not be able to trade, withdraw, transfer, or otherwise use your custody assets or client monies held by Dolfin while the restrictions are in place, without the consent of the FCA.
Can I take money out of an account that Dolfin manages for me, but where a third-party holds the custody assets and/or client monies?
In some instances, your custody assets and/or client money may be held at a third party on your behalf. Custody assets held at third-party custodians are not affected by the restrictions on Dolfin. However, Dolfin will no longer be able to provide any instructions without the consent of the FCA so you may need to contact your custodian directly.
I wish to add funds to my account, can I still do that?
No, you cannot add any new funds at this time to your account with Dolfin.
How long will the restrictions remain in place?
Firms which are FCA authorised need to meet the threshold conditions. The FCA has imposed restrictions as it considers that the firm is not meeting those conditions.
It is currently uncertain how long it will be necessary for the restrictions to remain in force as this is subject to the FCA’s concerns being addressed by the firm.