The Poor Swiss has summarised a few things about Flowbank bankruptcy. Maybe interesting for one or the other. Also interesting to see how money, shares and fractional shares were returned. Also interesting that Saxo and Swissquote were prioritized in the return process.
Cash under 100k:
Overall, it took about two weeks for people to get back their cash.
Cash above 100k:
(…) this will take longer, since these assets will then be considered as standard assets and will be returned (if possible) during standard bankruptcy proceedings.
Return of shares:
(…) impacted customers needed to create another broker account if they did not already have one. (…) They also did some brokers in priority (like Saxo and Swissquote) while others took longer (like Interactive Brokers).
Fractional shares:
It appears that liquidators did not really know what to do with them and kept delaying a decision. In the end, fractional shares will have to be sold by the liquidators and then each customer would get back its fraction in cash, through a bank transfer. As of early October, at least some investors (maybe all) did not yet get back their fractional shares. (…) It appears the liquidators were not prepared to deal with fractional shares at all.
My learning: Don’t buy fractional shares.