A snapshot of the US advice market has shown low-cost funds, online tools and a shift away from face-to-face advice as the prevalent trends among the country’s leading advisers.
The Financial Times has published its latest edition of the 400 top advisers in the US. It found the proportion who cite low costs as one of the major reasons to choose an investment fund has gone from 28 per cent to 38 per cent over the last year.
As a result, passive investments account for 26 per cent of assets the top 400 advisers manage, up from 20 per cent last year.
The average adviser on the list has been in business for 27 years, with 90 per cent of those listed who have been advisers for more than 16 years, meaning they have managed money through at least two bear markets.
Three-quarters of the top 400 provide online tools for clients and 37 per cent have held client meetings via Skype or similar video conferencing services.