Compliance costs forcing advisers to seek clients with more in the bank

Average minimum portfolio size now at £117,000

Isabel Baxter
clock • 3 min read

Regulatory changes are forcing advisers to seek clients with larger portfolios, Scottish Widows has found.

The annual Scottish Widows Investor Confidence Barometer has revealed that since the removal of the lifetime allowance (LTA), ongoing tax and regulatory changes are affecting business operations for 79% of 200 surveyed advisers. In response to rising compliance costs, advisers are pivoting towards clients with larger portfolios. Just over half of those surveyed (51%) increased their minimum portfolio size in the past year, with the average minimum portfolio now at £117,000 — rising to £134,000 for firms with more £500m in assets under management (AUM), according to the research. In Sc...

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