The advisory distribution performance benchmarking questionnaire has been devised by Owen James to promote a more united industry.
The firm says it hopes the survey will identify common ground and encourage firms to work together.
A pilot study conducted in 2006 found that higher-margin businesses generally had a greater proportion of earnings from existing clients rather than new customers as well as from recurring rather than initial commission. These firms also had a lower turn- over of advisers and used elect- ronic trading more often.
Owen James principal James Goad says the new study will gauge results better. He says: “One of the main responses to the pilot study was the fact that many advisers felt that benchmarking data against an industry mean was much like comparing apples to pears. We have now built in the capability for advisers to benchmark themselves against similar business models to enable peer group comparisons. We are also keen to get a better cross-section of the marketplace and this time around we will make the survey available to all advisers.”
Invesco Perpetual is sponsoring the survey. Sales director Craig Newman says: “It is clearly critical to understand what creates sustainable value for IFA firms in these rapidly changing markets.”
The questionnaire is open to all advisers at owenjamesevents.com and results will be available from July 8.