Cost and consistency: The role of MPS post-Consumer Duty

Adviser adoption of model portfolio services (MPS) is high. Nearly half of advisers use a third-party discretionary fund manager (DFM) for at least some of their clients, according to the July 2023 UK Wealth Management report from Platforum. DFMs now run about a fifth of adviser platform assets, in excess of £100bn, overtaking bespoke portfolios managed by wealth managers for advisers. This takeover by MPS dovetails with a new direction for adviser regulation. The Financial Conduct Authority's (FCA) Consumer Duty, in force since July, means advisers who continue to manage client portf...