Financial returns are likely to remain low over the next five years, and many investors are simply paying too much in management fees and commissions, according to a leading financial advisor.

Harrod’s Financial Services managing director, Rene Coory, says most investors are still paying top dollar to their advisors while losing money on their investments.

“And the reality is that we will see underperformance in the investment markets for at least the next five years, with likely average annual returns of 8% or less on a balanced portfolio” Mr Coory says.