There has been a "steep rise" in the number of advisers who say investment philosophy is key when choosing a managed portfolio service.
Despite this, performance and charges still came out on top in the annual study by RSMR and Research in Finance.
It showed a 14 percentage point increase in the number of advisers saying investment philosophy was a key feature of a good MPS provider.
Overall it came in at the fifth most important, with 48 per cent of advisers saying this was the case.
The top answer was performance at 84 per cent, followed by charges at 82 per cent.
This was followed by availability on platforms (64 per cent) and adviser service and support (50 per cent).
James Senior, RSMR’s head of business development and marketing, said: “For advisers reviewing the hundreds of MPS ranges now available, performance and charges naturally remain very important features.
"However this survey shows a steep rise in investment philosophy being seen as an important point of difference.
"Advisers’ investment propositions are far more considered than just being about past performance and charges and, in any case, advisers appreciate that these two factors alone may not be enough to provide good consumer outcomes in the longer term."
The study was based on a survey of 163 investment advisers.
Research in Finance UK Advisory Study's project lead, Jon White said while performance and charges were seen as "perquisites" of a good MPS provider, advisers are looking for more given the options on the market.
He added: "Given the sheer number of MPS options and providers available already meeting performance and cost expectations, investment philosophy is increasingly being cited as a distinguishing factor of influence and a key point of differentiation in the provider decision.”
tara.o'connor@ft.com
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