"The reason for Mrs Noad moving her funds to Cofunds was to receive natural income and this was already confirmed.
"Given all this, I think the reason to leave Cofunds was completely understandable.
"If there were any charges associated with leaving Cofunds these should also be waived.”
An adjudicator's views represent the first stage of the complaints process at the Ombudsman and are not binding on firms.
As Aegon has decided to contest the verdict and take the case to the next stage, an ombudsman will reassess any objections and come to a final binding decision.
Meanwhile Mr Ioannou said he has not charged his client the usual fees up to now, and won’t do so until the portfolio has grown by 10 per cent.
An Aegon spokesperson said: “A final ruling is still to be reached by the Fos service on Ms Noad’s case and we’re currently in discussions with them to reach a fair outcome.”
The latest data from the Financial Ombudsman Service shows that the number of complaints against Cofunds fell by 69 to 113 in the first half of 2019, and was no means the firm with the largest number of complaints.
david.thorpe@ft.com
