Investment trust platform sales up more than 50% post-RDR

Platform and wealth manager investment trust sales rose by 53 per cent in the first half of this year, suggesting the RDR has had a positive impact on the sector.

Investment company sales rose to £147m in the first six months of 2013 compared with £96m in the same time last year, according to a report commissioned by the Association of Investment Companies (AIC) using Matrix Solutions’ Financial Clarity.

There was speculation that the RDR, which took place at the start of the year, would “level the playing field” for investment trusts, as advisers can no longer receive trail commission on new business from open-ended funds.

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“The data backs up the positive anecdotal feedback we have been receiving from investment company managers,” said Ian Sayers, director general of the AIC.

“We realise there’s a lot more work to do, but we are heading in the right direction. Advisers are much more engaged with the sector than we have seen in the past, with many attending training sessions to find out how they can include investment companies in client portfolios.”

The platforms surveyed were Transact, Nucleus, Ascentric, Raymond James Investment Services, Elevate and Novia.