FCA vs Woodford: Comment

In light of the FCA’s provisional decision to fine Neil Woodford and his firm £46million and ban Mr Woodford from holding senior manager roles and managing funds for retail investors, Caroline Black, consultant at Gherson Solicitors comments:

“The ban of Neil Woodford and fines levied against him and the Woodford Equity Income Fund are a stark wake up call for those in senior positions.    The decision notice makes plain that although Mr. Woodford was the designated risk owner for liquidity risks, he had sought to rely on the compliance and risk functions to set liquidity thresholds and raise any concerns.  The FCA has roundly rejected this approach and apportioned personal responsibility at the highest level.”