Groups face distribution pressures as private banks shrink buy lists post-RDR

Fund groups are facing a fresh headwind to their expansion attempts as global private banks' buy lists shrink post-RDR.

Sebastian Dovey, managing partner at consultancy Scorpio Partnership, said Europe’s largest private banks are continuing to refine the number of relationships they have with providers. Some of those banks are using as few as a third of the providers on their lists, he said, echoing comments made by senior fund industry figures in the UK. “In some cases, these distributors are effectively allocating to 25%-40% of managers on their lists. That has got to change,” Dovey said. Richard Pursglove (pictured), head of retail at Artemis, said the introduction of post-RDR pricing models in t...