A large majority of financial advisers believe that the number of IFA centric platforms will have fallen within five years time, according to a poll by Schroders.
At the company’s Adviser Investment Conference, 83 percent of those polled said that they expected the amount of platforms to drop from the current number of 20 by 2016. Just over 60 percent thought that there would be less than 13 platform providers in five years, while 22 percent expected there to be around 17. Only three percent of respondents thought that there would be a significantly larger number of platforms in the market by 2016.
Commenting on the findings, Schroders’ managing director UK intermediary Robin Stoakley said: “RDR and FATCA, could prove that 2013 is the ‘perfect storm’ year for adviser platforms. I’m not at all surprised our conference delegates believe the number of platforms will significantly diminish. Only the most efficient and the best capitalised are likely to remain.”
“Meanwhile, 79 percent of advisers believe platform charges will be less or significantly less – 15-30 percent – lower in three or four years’ time compared to what they are now. Only seven percent believe fees will be higher than their current levels. We certainly agree that in the new RDR environment, platform charges will decrease and I think 30 percent is a realistic figure.”