What happens to my investments if Vanguard becomes insolvent?

In the unlikely event that we become insolvent, your money and investments would be returned to you as quickly as possible, or transferred to another provider.

This is because your money and investments are held separately from our own. Any funds you own with us are registered in a nominee account and held in accordance with FCA rules. And any cash you hold with us is held in trust accounts at an authorised bank in accordance with FCA rules.

So if we were to become insolvent, an insolvency practitioner would be able to identify all the assets belonging to you and other investors and make sure they remain fully protected until returned to you or transferred to another provider.

Administration costs - in the event of insolvency

In certain circumstances following the insolvency of a firm, the appointed insolvency practitioner may be entitled to utilise a proportion of assets and/or your client money to cover administration costs associated with returning or transferring your investments.

You may be entitled to compensation from the Financial Services Compensation Scheme (FSCS) up to the prescribed limits, in the event that there is a shortfall in either your assets or your client money resulting from such action.