Popularity of bespoke DFM services wanes among advisers

Large drop recorded for 2022 in advisers' use of DFMs

clock • 2 min read

Fewer advisers are using services to construct a bespoke individual portfolio for clients, according to Defaqto’s latest adviser survey.

Two fifths (41%) of respondents said they used a bespoke discretionary fund management (DFM) service with clients in 2022. This is down markedly from 62% in 2021.  The latest figures are part of a generally downward trend for the use of DFMs to create individually constructed portfolios among advisers.  Some 63% of advisers used bespoke portfolio services for clients in 2018, falling to 60% in 2019, before picking up in 2020 to 65%, only to fall again the following two years. Defaqto's report, pointing out the "significant drop", said this is likely to be a reflection of the sample...

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