Investors will find their choice of platforms has halved in as little as ten years' time, according to FundsNetwork advisory services head Jon Everill.
While there are more than 30 platforms in the advisory space alone today, Everill (pictured) has predicted there will only be 10-12 platforms as of 10-15 years' time.
Everill said: “The annual new asset flows into the five largest platforms in 2013 added up to more than the total assets held by the next four largest. This cannot be sustainable.
"While the challenges of integrating one platform with another pose a significant obstacle to consolidation, something has to give.”
In a decade’s time, platforms may also be polarised between full-service propositions and lighter-touch administration platforms, he added.
The top five platforms hold more than two-thirds of the market, according to figures from Platforum.
Those willing to invest are set to dominate, Everill said: “Platforms with deeper pockets, which are in it for the long-term, are the ones that will be thriving, rather than just surviving, in 10–15 years’ time.”
