Increased industry transparency will show which advisers, platforms and investment managers have the best value propositions, according to Vanguard Asset Management’s head of retail Nick Blake, stating that this will give advisers with great value propositions “the chance to shine”.
Speaking to FTAdviser, he said that since the Retail Distribution Review advisers have been forced to work on creating transparent fee structures and well-constructed investment plans, gradually getting more comfortable articulating their new value proposition.
“We see this move towards transparency only continuing into 2015,” stated Mr Blake. “Clients will feel further empowered to check that they’re getting the right value from their adviser, their investment manager and their platform, which in turn will lead to even greater competition in these three areas.
“Rather than being a cause for alarm, this atmosphere of higher competition will give advisers with great value propositions the chance to shine.”
The increased push towards transparency will also help keep costs on the agenda next year, according to Mr Blake.
“Investors are more aware than ever of the impact that costs have on long-term returns, and this increased awareness of fees will see investors continue to look for high quality products at competitive prices.”
However, he stopped short of providing any predictions about which market will perform the best in 2015.
“We believe the most sensible investment new year’s resolution you can make this year is the same one you should make every year: following solid investment principles and sticking to them.
“By creating clear investment goals, developing a suitably diversified asset allocation, minimising cost and maintaining discipline, you can give yourself and your clients the best chance of success in 2015.”
peter.walker@ft.com
