While protection is a healthy business, advisers can expect an "exponential" growth in competion from internet aggregator sites an industry consultant has said.
Discussing Research for the Protection Review, Jonathan Gunby a director at NMG Financial Services Consulting, noted that the growth and profitability of protection products, on the whole, does well and passes the parent company's targeted rate of return on capital. In addition growth is good in comparison to other product areas. He added: "And yet we have providers throwing millions into retail platforms. All that money, which is showing really low returns has flooded the market and we can expect consolidations. "So protection is good business and is profitable, only surpassed by off...
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