Asset manager margins hit by 17% advisory fee jump

According to the Investment Advisory Fee Benchmarking report average investment advisory fees, which cover asset allocation and stock selection, are 41bps. This is up from 35bps three years ago. Meanwhile, the average gross management fee (including distribution fees) has decreased from 1.06% to 1.02%. At the same time, the share of the management fee, which was covered by investment advisory fees, has increased 22% over three years.  This means any remaining revenue or margin received by fund houses from management fees, after any investment advisory and distribution fees, has shr...