And this transformation is continuing, even more so as an increasing number of platforms, wraps and fund supermarkets become profitable. Of the 23 platforms asked whether they were profitable by the Platforum on behalf of Investment Adviser, four did not disclose an answer and two replied no.

The remaining 17 said they were now making money. This makes the idea of consolidation in the industry more interesting, with companies more likely to acquire a profitable business than one that is struggling.

The platforms market is now set for further growth, following the Budget changes to Isas and pensions. The Platforum upgraded its platform projections following George Osborne’s speech, now predicting advised platform assets under administration would hit £495bn by December 2016.

Holly Mackay, managing director of The Platforum, notes: “There are circa three million advised customers on platforms today, with assets of £265bn as at December 2013. Circa 30 per cent of these assets sit in Isas today. As a huge 98 per cent of all new advised Isa business is written on-platform, these businesses are clear beneficiaries of these changes. If, for example, half of the three million advised clients on platforms contribute the additional £3,500 into Isas, that’s an additional £5bn of sales per year.”

But it’s not just in Isas that platforms are likely to see increased interest; model portfolios are also a growing part of platform business.

Ms Mackay says: “The adoption of outsourced investment propositions is growing and we estimate that £6bn of the £17bn gross sales in Q4 2013 went into models. But moving forward the biggest change we see is in the DIY market, as platforms jostle for market share and, with that most difficult of questions, how to reach a less-engaged, non-advised customer?”

The rise of the D2C platform, originally with just a few offerings, now extends to 12 providers and the estimated amount of direct platform assets is expected to reach £270bn by December 2016, according to The Platforum.

“Over in direct land there are circa two million individuals holding direct platform accounts. Of the £116bn held on direct platforms as at September 2013, 38 per cent (or £44bn) was in Isas. Non-advised investors now identify platforms as the most likely route of purchase for their next investment – we anticipate greater inflows as a result of the Budget to direct platforms,” adds Ms Mackay.

Post-RDR the landscape has changed for both advisers and platforms, particularly in terms of what can be charged and the services provided. However, with more people given the ability to invest their own pension the idea of doing it themselves is something likely to appeal and the question is how the D2C market and advisers can manage this transition.

Nyree Stewart is features editor at Investment Adviser