We act for a Property Management Company and it's directors have asked if they can invest surplus funds in low risk investments? These reserves have been collected from the owners of the apartments and are held in reserves and are earmarked for future repairs of the estate.
Related resources
Replies (7)
Please login or register to join the discussion.
You seem to be turning into a parody of yourself... which (imho) doesn't improve the site - I don't doubt that that's your objective.
You seem to be turning into a parody of yourself... which (imho) doesn't improve the site - I don't doubt that that's your objective.
I like to put as much effort into my responses as the questioner puts into their question. I'm sure if the question concerned some company law or tax nuance, the OP would have mentioned it.
I like to put as much effort into my responses as the questioner puts into their question.
But you succeed only when the OP has put no effort in, so you just add to the shitpile for everyone else, don't you think?
Hi Tax Dragon. I am with you on this one.
AA is like that and never makes any positive contribution or useful advice. Had a go at me last year for no good reason and I now try to avoid posting and asking my fellow accountants for help.
I don’t understand why, one would continue to do this day in day for as far back as I can remember. Must have too much time on his hands.
This is not an accounting question, it is a legal/regulatory question. Who is your client regulated by and what do the client money rules say?
In any case I would expect they are regulated by ARLA and not the FSA and further, I have no idea why they would want to risk their livelihood by providing investment advice!
Irrespective of legal rights or wrongs one goes back to investment basics 101, invest short term for funds needed in the short term, invest long term for anything which will not be needed in the short term. Some say re say equity type investments a five year minimum window is needed, I prefer minimum 7 year and preferably 10 year window.
I would also suggest flat owners' universal consent will likely be needed and powers of company will likely need closely examined/varied and that, I suspect, would mean each owner agreeing- if you were sitting with my money and lost it when I had not agreed you might invest it beyond holding on deposit I think I would be a tad irked, well actually more than a tad, I would be considering litigation.