Are small firms suffering from the cost of low-net worth clients?

Data released by the FCA last week seemed to indicate that medium and large firms are charging significantly more for ongoing investment advice than small firms for all but the most wealthy clients. For clients with £10,000 or less to invest, large firms charge a percentage of 0.88% for ongoing advice compared with small firms that charge 0.6% and very small firms at 0.5%, the FCA found. Meanwhile, small firms charge a median of 0.5% for advice on sums up to £1m while the charges at large firms varied considerably more: 0.81% up to £50,000; 0.75% for £250,000 and £500,000; and 0.5% fo...