The Financial Services Compensation Scheme, the consumer financial safety net service, has declared a wealth manager as failed, opening the door to clients to claim compensation.

Pro-Synergy Wealth & Tax Management Ltd (FRN: 502652)) was based in Lichfield, Staffs and provided investment advice to clients over a number of years.

There are a string of upheld Financial Ombudsman complaints agains the firm, most related to offers to invest property-based investment schemes.

The firm traded as Sedulo Wealth Management between 2011 and 2016 but was wound up in 2020.

Pro-Synergy, and its trading name of Sedulo Wealth Management, are understood to not be connected to the similarly-named Sedulo Wealth Management Limited (FRN 587712), a Chartered Financial Planner firm based in Manchester and with offices around the country.

The FSCS declared Pro-Synergy Wealth & Tax Management Ltd as in default this week after a first claim was upheld.

The FSCS said there were 11 claims in total against the firm so far, 10 of which have been rejected and one upheld. All the claims relate to investment advice.

The declaration of default means clients with valid claims may be able to receive up to £85,000 in compensation per claim. The cost will be met by the industry levy.

Pro-Synergy ceased to be authorised after 17 July 2020. A number of authorised individuals are listed on the FCA register as working for the firm including two CF1 directors, Matthew Victor Johnson and Ian Douglas Olney.

The FSCS has declared five firms as failed or under investigation this month including City & Merchant Ltd earlier this week.