The Retail Distribution Review (RDR) has resulted in a small number of gatekeepers at financial adviser firms, investment platforms, discretionary and wealth managers steering more money into fewer, bigger funds, new research has suggested.
Deloitte's report Seismic shifts in investment management, out on Monday, highlighted a shift in the funds industry leading to a greater concentration of capital in the hands of fewer people. The report claims a small number of asset managers and funds have been attracting disproportionate amounts of fund inflows, caused by the "growing power" of a small group of intermediaries. This group also puts pressure on asset managers to cut fees, Deloitte claimed, while further disruption to fund inflows to traditional asset managers is caused by the increasing popularity of passive investing...
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