European platforms move towards guided architecture
The European open architecture platform market is converging toward a guided architecture model, according to research by UK-based The Platforum.
The Platforum European Platform Guide, which interviewed and assessed 40 platforms, observed a gradual convergence across Europe in both investments and platform model. In particular, there is convergence towards the institutional model.
Holly Mackay, Platforum’s managing director, said: “We think that the consistent consumer themes of wanting access, clarity, investment management from experts, best-of-breed solutions and advice from a properly-qualified, trusted GP-type adviser -whether independent or bank-employed – will determine the global development of platforms. This consumer demand, coupled with stronger regulation and improved operating and technology systems, sets the scene for a European platform market which starts to look less fragmented, and more consistent than ever.”
The open architecture platform market in Europe stood at €740bn in September 2011, according to The Platforum’s figures. The UK, Italian, German and French markets have €538bn between them. The largest open architecture platforms by assets under administration in Europe include Allfunds Bank, Cofunds, Fidelity, Fund Channel and Skandia, all of which have more than €35bn of third-party funds.
The research has been supported by Schroders, whose head of International Marketing, Peter Beckett, said: “As the European market evolves towards offering greater transparency and ways of more effectively communicating products in an appropriate manner for our distributors and their clients, Schroders is pleased to be involved with a piece of research that puts a spotlight on Europe.”
Click here for more information on the European Platform Guide