PA360: Driving down cost does not demonstrate value

Proper alignment of tax wrappers lauded as an example of value

Jenna Brown
clock • 2 min read

Driving cost down to the lowest possible figure does not represent value to clients and advisers must determine what else they bring to the relationship to demonstrate compliance with Consumer Duty, delegates heard.

Speaking at PA360 in London on Wednesday (27 April), M&G Wealth investment business development manager Paul Fidell said the mindset that driving down cost to the lowest possible figure was "somehow delivering value" was wrong. He said: "What actually is value? People still think value is price. If I can drive the cost down to the lowest possible figure somehow that is delivering value - but is it? "I've done plenty of analysis where I have looked at MA portfolio sector averages and there is zero correlation between return and cost price. Statistically, it is known as ‘not significant...

To continue reading this article...

Join Professional Adviser for free

  • 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

Join

 

Already a Professional Adviser member?

Login

More on Tax planning

Reliable Returns: Foreign equity returns and the growing significance of operational leakage

Reliable Returns: Foreign equity returns and the growing significance of operational leakage

'The strategic case for foreign equity exposure remains compelling'

Steven Everard
clock 27 March 2026 • 4 min read
HMRC apologises for complaints delays

HMRC apologises for complaints delays

Taxpayers face long waits

Laura Miller
clock 26 March 2026 • 2 min read
Majority of UK adults oblivious to pensions IHT change - research

Majority of UK adults oblivious to pensions IHT change - research

Standard Life research finds 89% have little or no awareness about upcoming IHT pension changes

Martin Richmond
clock 24 March 2026 • 3 min read