threesixty Research Shows Use of Wraps Growing Fast

Four out of 10 IFAs (41%) are now using wraps, compared with just over three out of 10 (32%) a year ago, according to research1 by threesixty, the fee-based IFA support services provider.

Although the research shows the number of IFAs using wraps is still a minority, it does reveal a 29% increase in their number over the last year.
One in four (26%) believe that their wrap business will increase by a third over the next year, while 8% think it will increase by up to a half, 10% believe it will increase by two thirds, 7% think it will double and 2% believe it will more than double. Around 2% believe there will be no increase and 45% of IFAs have no opinion.

Phil Young, a partner at threesixty, commented: “The use of wraps by IFAs is developing fast and it won’t be long before the majority are using them. Clients will be demanding them more and more, too, given the improvements and transparency in portfolio monitoring and ongoing servicing they bring, so it is important for IFAs to make sure they are comfortable with this new technology as soon as possible.”

1 Research was conducted among 130 IFAs who attended threesixty roadshows in April and May. They included clients and non-clients of threesixty.