2021 is turning out to be an incredibly positive year for ‘do-it-yourself’ investment platforms.
Analysis by Boring Money shows the space has grown rapidly, with assets under administration increasing by 34% year on year.
This translates to a 14% rise in AUA growth, the year to date, and 6.5% for the quarter.
Customer accounts have also gone up by 26% since the beginning of 2021 and 15% in the last three months.
The major providers now have around £355bn ($485bn, €411bn) in investments, with Hargreaves Lansdown holding one of the biggest shares of the market at 38%.
Huge public duty
Boring Money chief executive Holly Mackay said that now is the time to stop dismissing the DIY investment space.
“The overall increase we have seen across the board means that the DIY channel will have to be taken more seriously by those who have formerly only paid attention to investors with a financial adviser or high net worth individuals.
“But this also means the need for clearer content, better signposting and a rethink of the jargon – transparency and simplicity are crucial tools for investors overseeing their own portfolios.
“The boom in DIY investing has coincided with a long bull market, meaning the challenge will also be to preach sensible diversification, to manage expectations and then to retain and help these investors the next time things head south.
“With great power comes great responsibility and with the industry now overseeing more than 8.6 million customer accounts they hold a huge public duty.”
