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Makeover Of The Investment Platform Sector

Makeover Of The Investment Platform Sector What to look out for as the $800bn investment platform sector feeds on itself By Tim Boreham, Editor, The New Criterion The head of investment platform Praemium ((PPS)), Michael Ohanessian, sounds like he’s channelling the coronavirus when he says that “like any living organism, any organisation wants to survive.” But in this case, he’s referring to the need for the $800bn a year adviser ‘platform’ sector to grow and diversify at a time when the banks’ stampede from the wealth management sector is also creating opportunities. The banks’ exit has created what are dubbed as specialist platform providers – non-bank aligned providers that generally have more modern software and are genuinely independent.

Praemium leads the charge

Switzer Daily Michael Ohanessian, head of investment platform Praemium (PPS), sounds like he’s channelling the coronavirus when he says that “like any living organism, any organisation wants to survive.” But in this case, he’s referring to the need for the $800 billion a year adviser ‘platform’ sector to grow and diversify at a time when the banks’ stampede from the wealth management sector is also creating opportunities. The banks’ exit has created what dubs as specialist platform providers – non-bank aligned providers that generally have more modern software and are genuinely independent. With fees constantly under pressure, achieving economies of scale is also critical, especially as most of the costs are fixed.

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