Graham Bentley: Where's the value in asset management's layer cake?

Selectivity comes at a cost

clock • 4 min read

If professional researchers and fund selectors struggle to provide value for money, asks Graham Bentley, how likely are model portfolio providers, with fewer resources, to offer more value?

Adviser actively managed model portfolios - and providers' multi-manager multi-asset funds - may not be providing investors with value for money. This uncomfortable implication is one of the less publicised issues raised in the FCA's Asset Management Market Study (MS15/2.2). It is likely to be the subject of a wider review once the final MS15 report is published later in 2017. The additional charges generated by layers of investment management are a concern for the regulator, with many points of charge leakage along the investment management and advice value chain. These additional ti...

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