Outcomes
The other key change seen in the market, according to Nicol is the shift away from a focus on pure performance.
Not only is the UK savings and pensions market evolving rapidly on the back of regulatory and fiscal reforms, but client behaviour is changing as well.
“Clients are more focussed on finding solutions to achieve their goals, rather than focussing solely on investment performance,” he said, adding :”Increasingly, a client sees good performance as their ability to reach their goals and it is our role to help them reach those goals. This relies on delivering the required investment performance and effective financial planning.”
As a result of this, he said, Brewin is researching the needs of private clients in greater depth and is developing specific approaches for new clients that are likely to accumulate their wealth through salaried success or business ownership.
The firm is also investing in a solution to work with professional services firms as introducers.
“This segment is currently under-served by the wealth management industry and we aim to exploit this opportunity by strengthening links with lawyers and accountants, broadening the services we offer them. We already work with many law and accountancy firms, providing services to their clients, giving us a strong base from which to grow. Research suggests the market size in this area is considerable.”
The other primary growth area is within the market for ‘outsourced’ investment advice for intermediaries. Currently Brewins has £5.6bn in discretionary funds under management sourced via 1,300 adviser firms and plan to expand this further.
“We are expanding our Managed Portfolio Service (‘MPS’) range and developing our technological capabilities for agents, to make outsourcing more efficient. We are focussed on increasing our market share of new business invested into such model portfolios by advisers.”
