With fees and disclosure a topic on many clients’ lips following the Royal Commission, two financial advisers have formed a new company, PortfoliosDirect, which will allow advisers and stockbrokers to offer a completely transparent, non-custodial investment service.
The product, launched by Leith Thomas and Ian Bailey from independent advisory firm Bailey Roberts, would use the web-based application Pluto as the basis of the client portfolio management service.
Pluto was developed over a decade ago so that advisers could take control of their dealer groups away from large institutions, as Pluto users did not need to sign up to platform providers of pool clients’ assets. Furthermore, it provided full fee disclosure.
“While the initial motivation behind developing the software was better business and client outcomes, what has transpired is a tool that addresses some of the largest issues our industry is currently grappling with: professionalism, fee-for-service and transparency of service offerings. We think the timing of bringing this to the marketplace is perfect,” Thomas said.
“One of the many advantages of using Pluto is the savings to the client through cutting out middlemen and the ability for advisers to be remunerated for their true value as asset managers.”