Reply by Devere Group

The deVere Group prides itself on offering industry standard, fully accredited training to all our consultants. Our consultants are trained to listen to the client’s needs suggesting suitable financial planning to help the client reach their financial goals. Our compliance team regularly call clients to make sure they are receiving full support from their consultant and to answer any questions they may have regarding their investments or plans.
Author's
Kuala Lumpur, Kuala Lumpur
6 comments

Advisers at devere Kuala Lumpur offices are actively bullied in to giving their clients disastrous advice with the only view being optimizing commissions. Country manager Terry Howes and Tariq Mizra do not recommend any clients nor colleague advisers to place single premium lump-sum investments in to viable portfolio bonds. Instead the clients are fooled in to splitting the lump-sum single premium in to high monthly regular savings premiums with maximum length maturity periods (25years). As is the case in over 95% of these plans, the client circumstances change and either stop contributing or substantially lower the monthly contributions.

“Positive” Scenario: Client is advised to split a £400,000 lump-sum investment in to £15,000 monthly contributions over 25 years with Generali and told that the monthly contributions can be lowered after the 25.6 month initial period due to fictitious bonuses. The initial period determines the total cost of the plan ie total client cost is £384,000. After the client lowers the monthly contributions after 25.6months to £4,000 and continues paying until the 25 year maturity total contributions equal £1,481,600. The total cost of plan for client is 26% and the “adviser” received £86,400 in commission. [300mnths (25y X12mnths) X £15,000 = £4,500,000 X 1.92%]

Negative Scenario 1: Client stops contributing before 25.6months and receives £0.

Negative Scenario 2: Client contributes £15,000 for 25.6months and then stops contributing. The total cost = contributions are £384,000. Over 25 years this means an annual 4.9% deduction of capital growth ie the growth has to be minimum 4.9%pa to receive any return. When adding a 3% annual inflation over 25 years it most probable that the client receives £0.

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Comments

Anonymous
#655993

I just don't get how people are still investing with these guys.

So the UAM fund, owned until recently by Nigel Green, the CEO of devere, and now run by Beverely Yeomans, a devere PA!, has gone under with £50Million of clients money.

So the devere sales force were flogging a fund that the boss owned! So, no conflict of interest then. Of course, this isn't the only fund he has had interests in. Anyone remember the imperial consolidated fund he was involved with, that lost investors £250million in 2002.

I'm sorry to say that the only winner here is Nigel Green, and there are going to be a lot of unhappy investors with big losses.

But then why would you place your investment with a firm wholly unregulated outside of the UK with commission only salesmen with double glazing backgrounds. Quite amazing how a good sales script and flashy website can extract cash from expats across the world.

montyb
Ipoh, Perak, Malaysia #655534

Dear Anon,

Yes you are correct they have been on BBC. Panorama show "who stole my pension" where Mr Green refused to be interviewed. So why would the BBC then come back to him.

Anonymous
#654613

Having worked for deVere for a substantial period of time, I will agree that the culture there is most definitely commissions first and good advise and customer service a very poor 2nd and 3rd. Highlighted when my then regional manager (John Brophy) explained how I should have made an extra 30k GBP, had I sold long term plans, followed by been threatened the sack if I did not change my approach. I resigned!

Anonymous
to Anonymous #655036

I also know Brophy, McIntyre, Green & Co. I would stand up in any court & tell all about these theives. It's all about what you can screw out of the client. How much of his money you can allocate to Nigel Green's own dreadful funds.

Not forgetting how much money you're earning Managers etc.

DeVere are not independent despite what they tell you.

Anonymous
to Truth teller #655177

Despite the complaints, Devere seems to be doing well.Regularly interviewed by the BBC on tax issues.

See the interviews on the Devere Youtube channel. Who wouldn't want to take advice from or work for a company trusted by the BBC? The Telegraph also regularly consults them on financial issues. Just do a Google search for "Devere group" site:telegraph.co.uk.

As for one of the funds, it was apparently wound up earlier this year.

Maybe some Devere clients and ex-employees aren't laughing, but some people must be.

Anonymous
to Truth teller Manila, Manila, Philippines #656844

They are *** and a disgrace to the industry.

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