FCA dealing commission reform 'could hit industry profitability'

FCA dealing commission reform 'could hit industry profitability'

OakTree Wealth Management's co-founder and chief investment officer Ian Brady tells Investment Week how he educates his clients, how changing regulation could hurt the industry, and why he refuses to join the chase for yield.

What kind of risk appetite do your clients have right now? They are optimistic, but not rampantly bullish. A client’s appetite for risk is determined by what they have done over the past few years. The fact they have had good returns over the past two years has made them a lot more positive. Many of them were more pessimistic when the FTSE was at 4,000 than when it is sitting at 6,500. How do you explain your market views to clients? We cannot run funds on the basis of our clients’ views. We have to protect some clients from themselves. We have to be bullish when things are cheap, ...