Nine in 10 (91%) advisers are currently using managed portfolio services for their clients, according to new research from Charles Stanley.
Of those who use an MPS provider, nearly half (46%) use two to support their work with clients, while 45% use three or more. In contrast, less than one in 10 (9%) use one provider.
The research also suggests that the use of MPS will grow. The vast majority (90%) of advisers expect to use or rely on MPS more over the next 12 months, with 41% expecting to use it a lot more and 49% only marginally more.
Current MPS users also say they are looking to increase the number of providers they use (68%).
Charles Stanley said the research highlighted various benefits to MPS usage, with performance comparisons for investments and portfolios helping advisers the most (34%), followed by offering more scalability for different client sizes (32%).
The same number (32%) also said that using MPS has meant they can have a greater focus on offering quality advice and service to clients, while a further 32% said it provides cost efficiency when it comes to reviewing the market and investment options.
Other support advisers have found from using an MPS include the ability to access more specialist knowledge and broader research sources, more support in business growth without the overheads, improved reporting, and time efficiency.
Paul Measures, head of sales at Charles Stanley, said: “As advisers look to scale efficiently under Consumer Duty, MPS has become an essential part of their centralised investment and retirement propositions.
“We fully expect this to grow further, especially when we consider nine in 10 advisers currently use the service, and a further nine in 10 say they’ll rely on it more over the next 12 months. We are seeing demand from firms wanting flexible, outcome oriented portfolios that free up time to focus on what matters most; building outstanding client relationships and outcomes.”
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