The Pridham Report, published earlier this month, revealed that fund managers with net retail sales of less than £300m have entered the top 10, a feat, Goodsir says, that is rare:
“Traditionally investment managers have needed to post net sales figures of a minimum of £500m in order to make the top 10. However, this quarter only the top four investment houses achieved this.”
As the report points out, austerity and the squeezing of family budgets has obviously played a role in the findings but Goodsir believes that another key factor is that advisers are still adjusting to RDR reforms. “In our own discussions with advisers, it appears that they have been largely focussing their time and effort on the re-structuring of their businesses and pricing models. As a result, investment sales have understandably taken something of a back seat for now.”
Goodsir continued: “As advisers continue to implement changes to their business models we’re likely to see their focus change and sales into investments should gradually increase as a result.”
The report shows that despite the slowdown of sales across the industry, BNY Mellon has made the top 10 in net retail sales for 11 consecutive quarters and is second overall this quarter with net sales of £658m.
Goodsir attributes this to the breadth and depth of the company’s proposition. “Quite simply, we have had a number of products performing very well in the right markets and across a broad range of sectors. Whether fixed income, emerging market income, global high income, absolute return or fund of funds, we offer investment solutions across a range of client types.”
