The market place for platforms is seeing a significant shift in pricing and new entrants as technology takes over from people.
We have seen the price of the platforms overall shrink significantly over the last 12/18 months and as a result a number of clients are asking the question if the current platform is right for them. We ask all our clients how much they feel a good platform should be.
Our thoughts are different in that platforms overall should be no more than 5bps for the full service and we predict these prices over the coming years as the margin and costs are pressured.
It is interesting in such a wide market space that users can pay as much as 32bps for the platform and yet we have seen charges as low as 7bps for clients which is a huge difference in platform charges across the industry.
Our opinion is that this area is often overlooked and not as important as the underlying client is the one that mainly benefits but when an industry is constantly being challenged on fees overall we encourage all our clients to review the platform setup and ask if this is the best option for them and their clients.
If you are looking for support in exploring or changing clients to a more efficient, cost effective platform then please get in touch.
Get in touch with your Lloyd Expert to find out now, firstname.lastname@example.org