“It’s a bit of a chasm, you can’t really be comfortable with 600 or 700 funds, it tends to be a spot where firms don’t sit,” said Mr Bungard.

“I think what happens, based on what we’ve seen and talking to clients, is that if you want to go beyond 500 funds or thereabout, you really hit a transition point where as a business you really need to change what you’re doing.”

Mr Bungard said this means investing in house IT support, investing in workflow and document management and other systems, and creating operations and middle management.

Firms looking to grow he said also need to have a sales and marketing department to drive that growth up in a continuous way.

“So I think if you are looking at growth and you are looking to become a major administrator, make sure that you’re aware of that cost of going beyond that point,” he said.

“It’s beyond the point where one partner can comfortably manage one part of the business and it really has to be a standalone business unit.”