Hargreaves Lansdown among targets of Woodford investors' legal challenge

Investors face 'heavy financial losses'

Mike Sheen
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HL could face compensation claims for promoting WEIF prior to its June 2019 suspension
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HL could face compensation claims for promoting WEIF prior to its June 2019 suspension

Investors in the collapsed Woodford Equity Income fund (WEIF) have engaged with legal representation in efforts to claim compensation for "heavy financial losses" accrued as a result of the fund’s demise, with Hargreaves Lansdown (HL) among those in the firing line.

WEIF collapsed in October after it was determined that it was not in the best interest of investors to reopen the fund after its June gating, which ultimately led to the closure of Woodford Investment Management. The fund is now being wound up but experts anticipate it could take years for investors to get their money back, with any return set to be considerably lower than capital invested. WEIF's ACD Link Fund Solutions has said the first pay out to investors is anticipated at the end of January, with cash returned in proportion to the size of their investment. Partner at law firm...

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