Brite Advisors 2025 distribution plans for beneficiaries

The Brite Advisor PTY Limited Receiver published several documents in December that created a clear framework for the 2025 distribution of frozen accounts to beneficiaries. The Explanatory Memorandum outline the proposed option/s for returning the funds to Brite platform clients. Beneficiaries should have acted upon valuation notices received by email.

What Brite Advisor Beneficiaries Need to Know About 2025

1. Consultation Period: Beneficiaries have until 31 January 2025 to give inputs into the distribution proposal.
2. Proposed Distribution:
   • There are six groups that beneficiaries are grouped into that determine entitlements.
   • Most assets are primarily pooled into the Deficient Mixed Fund, which will be distributed proportionately between eligible beneficiaries.
   • Excluded assets like Moventum platform positions will be distributed separately.
3. Court Applications and Hearings:
   • The Receivers will submit a Distribution Methodology Application (based on the feedback) by 28 February 2025.
   • Beneficiaries may file as interested parties with the court before 14 March 2025, and a hearing is due on 21 March 2025.
4. Tax Consequences: Distributions are subject to waiting for tax issues, and this can influence dates and amounts.
5. Identity Verification: The beneficiaries will have to submit an identity verification form to receive valuation notices, which are essential to confirm entitlements.

Return of Money to Pension Funds and Reinvestment Choices:

• Return Process: Distributions for most beneficiaries will be made to their Corporate Trustees in the currency of their accounts.
• Corporate Trustees are in charge of these options and Beneficiaries should contact an outside adviser if necessary.

Brite Advisor Distribution Timeline

• 4 December 2024: Explanatory Memorandum issued.
• 31 January 2025: End of Consultation Period for feedback.
• 28 February 2025: Filing of Distribution Methodology Application.
• 3 March 2025: Publication of Distribution Methodology Application.
• 14 March 2025: Deadline for applications for leave to appear.
• 21 March 2025: Hearing for applications for leave to appear.

Understanding the Role of a Corporate Trustee, Beneficiary, and the Brite Platform

Amongst all the technical documents that have been published, we think it’s critical to explain the parties that are involved in the beneficiaries’ money and pension. Understanding the various parties lets you know what to consider when Distributions are made about your assets. We have clients who have spoken to us to understand the parties and get a truly independent perspective to help them. The trouble with the various parties involved is the client hasn’t always understood everyone’s role and, therefore, what they can do when the money is returned to them. Most corporate trustees do not offer advice, only administrative information, and so a suitable adviser will probably be needed. We are happy to offer free no obligation consultations.

The Beneficary: You – the investor

• You are the owner of the money in your pension or investment account.
• Think of yourself as the property owner who entrusts others to manage the property on your behalf.

The Corporate Trustee: The Gatekeeper

• The corporate trustee is a middleman between you and the Brite Platform (or other asset management platform).
• Their role is to care for your money from an oversight and pension operations perspective and run it the way you want.

Example: Suppose you hand over gold coins to a gatekeeper to deposit in a vault. The guardkeeper will keep the gold coins safe and only give them to you, when you ask.

Some of the Corporate Trustees, through QROPS or international SIPPS, we have seen with clients linked to Brite Advisers include:

• Concept Group
• iPensions (formerly Forthplus Pensions)
• IFG Pensions
• London & Colonial
• MC Trustees (Mattioli Woods)
• Praxis PES (formerly Trireme Pension Services)
• PSG SIPP Limited
• Relay Pensions that includes Relay Administration Limited, Corinthian Pension Trustees Limited, and Pantheon Pension Trustees Limited.
• STM in Malta and Gibraltar
• Sovereign Pension and Sovereign Trust
• The Pensions Solutions Group

The Brite Platform: The Investment System

• The Brite Platform was the place where your money was put.
• Think of it as the chosen vault where the gatekeeper allows your gold coins to be kept, with your selected advisers then able to act in a way to grow the value of your gold coins by, for example, changing them into Silver coins or another asset.
• Unfortunately, the Brite Platform was not managed effectively, with all the treasures being stored and tracked incorrectly.

The Adviser: The Trusted Guide

• Brite Advisors had an arm where the people there acted as your guide in addition to the investment system. The Guide, or Advisors, should have told you how to increase your investment and kept you informed.

Now, knowing the roles of the various parties, the critical piece is that your adviser or guide should be the one that informs you what to do linked to your personal circumstances. The receivership of Brite now means many of their advisers are unable to offer advice. Some have moved to new businesses or no longer active. The critical assessment was did your Adviser, guide you suitably and propose parties and organisations that you can have confidence? Are you confident to act alone to reinvest the pension in the future? These questions are important as the next section explains where your money will be paid.

Where Will My Brite Platform Money Be Returned To?

Beneficiaries will receive their Distribution back to their Corporate Trustees. They can choose to transfer cash to new trustees if necessary​ or invest into a new suitable investment platform or access their benefits. The Corporate Trustees play a pivotal role in gatekeeping these options, but Beneficiaries are advised to seek independent advice if needed​ as the Trustee will only provide operational and administrative advice on your scheme.

How to find a good expatriate financial adviser

1. Use a Regulated Financial Adviser
   • Choose a company such as Edale, which is an FCA-registered expat financial planning business. 
   • Verify the reputation of the adviser and check if they’re on the FCA register.
2. Research Their Expertise
   • Be sure the advisor has dealt with International passions (eg QROPS, SIPPs, etc) and knows the tax and regulatory landscape of both your current and former countries of residence.
3. Avoid Cold Approaches
   • Be wary of unsolicited calls, emails, or messages offering financial advice. These often come from advisers who may have obtained your details through unethical means.
   • Report cold tactics to your local regulatory agency (like the FCA in the UK).
4. Protect Your Personal Information
   • Share personal details only with trusted and vetted advisers.
   • If you believe your information is being misused, report it to the authorities and alter the contact details or account security.
5. Check for Comprehensive Services
   • Choose an adviser that offers all-around financial planning (such as: Tax-efficient pension transfers, investment advice management, financial planning, regular performance reports and regulatory news).
6. Understand Fees and Charges
   • Make sure you are transparent on your adviser fees, not extra costs that could drain your savings.

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