The threats and opportunities for asset managers over the next five years

Impact of digital technology and price pressures

The impact of digital technology, price pressures and the growing challenge from passives have been highlighted as significant factors that will shape the UK asset management and wealth sectors in the years ahead.

2015 has already seen considerable upheaval for fund groups and wealth managers as they rushed to take advantage of the opportunities created by the implementation of pensions freedoms in April, but also had to contend with a punishing market environment and the increasing burden of Europe-wide regulation. Some groups' share prices have been hit hard in 2015 as results disappointed, with Aberdeen down over 28% year-to-date and Ashmore 10.8% lower. These pressures have prompted broker Numis Securities to take a "cautious" view of the asset management sector. In its recent report Spe...