With the UK financial advice sector on the cusp of its biggest ever shake-up, CoreData is close to releasing findings of a major research project investigating three key areas likely to impact a huge number of businesses that rely on adviser firms.
The three areas of focus are:
1. The degree to which there is a movement to outsource operations – be it part or all of the investment process or the paraplanning function within advice firms.
2. The degree to which there could be a shift away from active funds management in favour of passive solutions as advisers lose faith in an alpha generation and/or seek lower-cost solutions for clients.
3. The charging structure advisers will be using post-RDR and methods many advisers may seek to use to supplement revenue.
Change is undoubtedly afoot.
In developments this month two large groups, Standard Life and AXA, revealed they are seeking to drag out the good ol’ days by offering to take on unserviceable offloaded adviser clients post-RDR.
In a new world of charging for many and where the cost of advice is no longer subsidised by product manufacturers, our previous research shows significant proportions of existing clients will not pay a fee for advice, or cannot pay to a level that is economically viable for advisers to service.
A tough ask, considering a not insignificant number of adviser customers still believe that advice is free.
CoreData will be kicking off a roadshow in early December to present the findings from the project, called Adviser Choice 2013 and Beyond, and reveal the key numbers industry will be keen to know.
Post-RDR is likely to prove a battlefield as manufacturers jostle to influence an additional group of key decision makers in the market – paraplanners, asset allocators, discretionary fund managers etc.
It’s going to be interesting as the groups with the biggest wallets or deepest pockets are going to have to compete in other ways.
And this will be against a backdrop of technological change and new business models that will create an identity crisis for some parts of the advice profession as clients look to alternative offers and arrangements.
Exciting and challenging times for all. займ онлайн займ ставропольфинансовый займзайм вива