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Alastair Cunningham: “The majority of the ones I’ve seen are just some permeations of a value-based charges rather than being bone fide fixed fee for one service.”
Dramatic market dips resulting from the global pandemic have seen some advice firms' revenue streams take massive hits, putting pressure on the assets under management (AUM) model. And, like in any time of crisis, advisers are questioning whether their approach is best and some are exploring different possibilities. Claire Tyrrell spoke to several advisers about their charging structures and their view on fixed fees versus percentage-based models.
Capital Asset Management IFA and chief executive Alan Smith has operated his Chartered firm on a fixed fee basis for the past five and a half years after changing from a percentage of AUM model. Smith...
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