The adviser platform market will see more consolidation in the years ahead as the benefits of scale and challenges to achieve profitability take hold, according to the guests on the latest FTAdviser platform.
Ben Hammond, platforms director at Altus, said: “There are many platforms that don’t make a profit. Now some of the players will use scale as part of the way to profit, but I also think there will be niche players. Scale will help, but things also have to right operationally.”
Mark Till, managing director of digital solutions at Aegon said the need to constantly refresh technology and to continue investing even in market downturns meant the capital strength of platforms was increasingly important.
He said "saving the adviser time" was a core purpose of platforms, and he expected technological advances to continue in the coming years, and while some of these advances will come from smaller platforms, in time the larger players will be able to deploy those innovations themselves.