Firms with only one or two advisers were the worst hit during the six month period to mid April 2009 as economic pressures took their toll, according to new research from threesixty.
The support services group found the market for firms with investment permissions contracted by 5.6% from 11,646 to 10,991 over the six months. This included both directly authorised firms and those within networks. However, most significantly hit were firms with one or two advisers, which shrunk ahead of the average at a rate of 6.4%. Firms with more than 24 advisers dropped by just one – from 98 to 97 during the same period. Phil Young, partner at threesixty, comments: “Whilst there are various reasons why small IFA businesses are reducing in number, it is a trend which we expect to...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
