Keeping your investments safe
Your investments would be protected even if Royal Bank failed. The underlying assets within each of the Personal Portfolio Funds available through Royal Bank Invest are held separately from Royal Bank by an independent company called a depositary, which is authorised by the Prudential Regulation Authority (PRA) and dual-regulated by the PRA and Financial Conduct Authority.
This company, the Bank of New York Mellon (International) London Branch, keeps the Personal Portfolio Funds’ underlying assets safe and holds them separately from its own.
Additionally, the Personal Portfolio Funds are based in the UK and so are covered by the UK Financial Services Compensation Scheme (FSCS), up to a maximum of £85,000 per person.
Royal Bank is required to keep accurate and up-to-date records of the investments we hold on your behalf within the relevant Personal Portfolio Fund. Each record is specific to each customer, and quite separate from the records of other customers’ investments and any assets belonging to us. They are also held separately from the underlying assets within each Personal Portfolio Fund. This all further contributes to protecting your investment if Royal Bank failed.
Coutts acts as investment manager for the Personal Portfolio Funds, but your investments are held separately from its own. So if Coutts failed, your investments would still be secure.
In that instance the management company of the Personal Portfolio Funds would look for a new investment manager to run the funds.
Financial Services Compensation Scheme
The Personal Portfolio Funds available through Royal Bank Invest are based in the UK and so are covered by the UK Financial Services Compensation Scheme (FSCS), up to a maximum of £85,000 per person.
However, it’s important to understand that the FSCS doesn't cover you if your investments don’t perform as well as you hoped, and you get back less than you originally invested.
Money you hold in your Royal Bank Invest ISA cash account is treated as a deposit so is covered by the same FSCS protection that applies to savings accounts and current accounts.
Please see the FSCS website for more information on the circumstances in which you might be able to make a claim.
Learn more about investments
Whether you’re an experienced investor or just finding out what investing is, we’ve got a range of articles to help you understand more about investing.
We regularly update our articles depending on what’s happening in the market so check back for future updates.