The Financial Markets Authority has cancelled stock picking service Stockfox's financial advice provider licence, as its sole director David McEwen is not a fit and proper person to hold the licence and therefore Stockfox cannot effectively perform a financial service and was likely to breach its market services licensee obligations.
The FMA issued McEwan, Stockfox's only financial adviser, with a permanent stop order in December 2023 for misleading communications to investors. The order banned McEwen and his companies from offering financial products or accepting any money from investors.
FMA Specialist Supervision and Response director Peter Taylor said: “Mr McEwen has failed to meet the standards and obligations expected of a licensed financial advice provider. His conduct has potentially caused harm to his clients and breached their trust. Such conduct erodes the public’s confidence in the financial advice industry."