The Platforum research dimensions the B2C platform market

In February 2011, The Platforum release its report dimensioning the B2C platform market. Amongst its finding are:

• The three main categories of D2C platforms are IFA brand platforms, fund manager owned platforms and execution-only stockbroker platforms.
• As at 30 September 2010 the D2C platform market was £64.9 billion.
• The largest players by Assets Under Advice are Hargreaves Lansdown, Barclays then Fidelity. Hargreaves Lansdown dominates the space with a 28.5% D2C platform market share.
• The average age of a D2C platform customer is 57 (which is certainly older than I would probably have imagined).
• There is currently little differentiation in this market with all D2C propositions being built to service “mini IFAs”.

Looking at the market more widely, they go on to suggest that:

• There are other important pools of directly-held funds out there. For example, they estimate that there are up to £20 billion in directly-held funds with asset managers.
• 17% of active private investors intend to take out their next ISA through a fund supermarket.
• There are currently 6 million people in the UK who claim to be actively involved with their investments.

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