Contrarian: The decline of mass market advice

CONTRARIAN

What will a sensible client pay for good financial advice? I do not doubt this is a hot button issue for anyone working in the financial services industry - indeed, I have asked this question many times before in this column, usually with a cautiously optimistic response.

My view had been that when push comes to shove, most sensible investors will eventually pony up to avoid making catastrophic mistakes with their lifetime savings. Yet, as the months go by, I am not so sure anymore. Maybe, just maybe, most investors really are far from sensible and, come 2013, they will collectively vote with their feet and head for the exit, piling into all manner of self-directed mayhem. My growing sense of fear was confirmed last week by a research report from commission rebate specialist InvestSmart, headed up by Tom Russell. The headlines from this survey, conduct...