Personal Retirement Savings Accounts (PRSA) Decision Reference 2025-0106

• Case Outcome: Rejected
• Year: 2025
• Reference: 2025-0106
• Date: 29 July 2025
• Subject Matter: Personal Retirement Savings Accounts (PRSA)
• Finantial Sector: Investment
• Conducts Complained Of: Delayed or inadequate communication,Failure to inform of drop in value, Failure to process instructions, Failure to provide accurate investment information

Decision Ref:

2025-0106

Sector:

Investment

Product / Service:

Personal Retirement Savings Accounts (PRSA)

Conduct(s) complained of:

Delayed or inadequate communication

Failure to provide accurate investment information

Failure to process instructions

Failure to inform of drop in value

Outcome:

Rejected

LEGALLY BINDING DECISION OF THE FINANCIAL SERVICES AND PENSIONS OMBUDSMAN

The Complainant held an Approved Retirement Fund Investment Policy with the Provider.

This Policy commenced on 31 May 2019 with the single premium amount of €69,658.68

and was later surrendered by the Complainant on 14 November 2020 for an encashment

value of €59,902.00. This complaint relates to the Provider’s administration of the

Complainant’s Policy, along with the Fund it was invested in.

The Complainant’s Case

The Complainant says that between 27 January and 31 January 2020, the Provider

removed €6,292.94 (six thousand two hundred and ninety-two Euros and ninety-four

Cent) worth of shares from his Approved Retirement Fund Investment Policy, resulting in

a 9.3% decrease in the policy value. The Complainant says he spoke with his Financial

Advisor on 3 February 2020 and she informed him that she had spoken to a Provider

Representative by telephone in the course of the preceding days and they had told her

that the decrease was as a result of a large broker having taken out a large amount of

money from the investment fund for clients.

- 2 -

/Cont’d…

The Complainant says that as of 30 January 2020, the Provider introduced a moratorium

which prevented him from obtaining funds from his Policy for a period of six months from

the date he submitted the withdrawal request to the Provider, despite the fact that he had

purchased the Policy on the understanding that he could withdraw funds at any time once

he was in receipt of an annual income of €12,700.00, which he was.

Separately, the Complainant says that on 30 March 2020 the sum of €1,225.50 (one

thousand two hundred and twenty-five Euros and fifty Cent) and on 30 April 2020 the

sum of €515.00 (five hundred and fifteen Euros) went missing from his Policy, and that the

Provider has given him no valid explanation for this.

The Complainant sets out his complaint in the FSPO Complaint Form he signed on 7

September 2020, as follows:

“Between 27/01/2020 & 31/01/2020 [the Provider] removed €6,292.94 worth of

shares from my fund, a decrease of 9.3%, this was not a dip in share prices. As the

result of call I made to my financial planning consultant [name redacted], I was

informed that the reason was due to a larger broker pulling out of the fund which

should not be possible. Since this drop, [the Provider] introduced a moratorium

which stops me withdrawing any of my pension for a minimum of 6 months plus.

This starts when I request to withdraw funds. Therefore I am always 6 months

behind. This policy was sold to me by [my financial planning consultant] on the basis

that I could withdraw funds at any time once I am receiving an income of €12,700

which I am. [My financial planning consultant] since informed me that I would

receive the 9.3% back upon exiting the fund. I now understand this to be untrue.

Also on the 30/03/2020 & 30/04/2020 [€1,225.50] & €515 respectively went

missing from my portfolio, with no valid explanation”.

The Complainant submitted in the FSPO Complaint Form that in order to resolve this

matter, he was seeking from the Provider the following:

“I want all of my money returned to my account €8,033.44 [€6,292.94 + €1,225.50 +

€515.00] plus the difference which 567.77 shares would have earned in the last six

months”.

The Complainant subsequently surrendered the Policy on 14 November 2020 for an

encashment value of €59,902.00.