Importance of ongoing development of a platform

While advisers are unlikely to be told the amounts invested, Mr Wilson says it is important to understand the direction, desires and capability of providers to deliver.

He says: “How does a client feel if their mobile phone doesn’t keep up with the latest developments? My feeling is that they would seek to change their technology.

“While the decision to change platforms will involve greater consideration for a client (or, more likely, adviser) using technology that is not capable of keeping up to date is as much a risk to the adviser as it is for the platform.

“That is why we have developed technology that works easily on tablets, enabling clients to access their information where and whenever they wish.”

A rule of any market is that standing still means falling behind and Barry Neilson, business development director at Nucleus, says the platform sector is no different.

Post-RDR, Mr Neilson says advisory businesses are adopting ever-diversified client propositions and platforms can no longer be all things to all men.

With a great deal of re-platforming of core technologies currently being considered by major market participants as a result of changes to long standing remuneration arrangements in particular, Mr Neilson says ongoing functionality enhancements may become secondary.

He says: “It is critical that platform users understand whether there will be any disruption to normal service as a result of this type of upgrade and to what extent, if any, functionality developments need to cease in the run up to the change being made.”

Platform technology needs to keep pace not just with legislative changes but also changes in how clients choose to interact with their investments, says Chris Smeaton, director of marketing at James Hay.

Platforms need to achieve an interesting balancing act between innovation and having the experience to navigate changing market conditions that may see striking differences in fund flows and service requirements, says Stephen Wynne-Jones, head of marketing at Cofunds.

Platforms that have already demonstrated they can weather global credit crises, liquidity-driven bull markets and massive regulatory change offer an added layer of comfort against future uncertainty, he adds.

Mr Wynne-Jones says it is just as important to know that a platform has worked through its own growing pains.

He says: “No one wants to be the guinea pig used to stress test what might happen to a platform’s infrastructure as its assets under administration suddenly triples in size.

“Given the constantly changing landscape of both of financial markets and technology, a platform can never rest on its laurels.

“Constant investment is required in systems, services, compliance and people to ensure a platform remains robust, operationally as efficient and worth paying for. And that requires access to capital.

“Platforms may primarily be about brilliant technology but the very best platforms are also known for the people behind them.

“Regional – not just centralised – support, named relationship managers and access to specialists in areas such business development, regulation and IT can all help a platform feel like less of a utility and more of a valued partner.”