Advisers are making good progress in switching to a fee-based charging structure says a FundsNetwork survey.
But the research also revealed that the majority of advisers questioned (52%) say that less than half of their revenue which is recurring comes from clients who are paying fees.
Following its research, Funds Network is urging advisers to take action on their fees ahead of the April, 2016 deadline.
The report discovered that most advisers were aware of what needs to be done, yet were still unsure of the process behind the changes. Just over a quarter of respondents admitted that they were looking for more help from their platform provider in order to get clients moved over to fees.
The Head of Advisory Services at FundsNetwork, Jon Everill, said: “It’s encouraging to see that many advisers have made such positive progress in transitioning to fee based arrangements.
“However, at the same time, we empathise with advisers who are feeling the pressure of the sunset clause’s April 2016 deadline. While the regulatory changes offer a great opportunity for firms to re-engage with their clients, we appreciate that it may also impact adviser firm revenue.”