Every money manager has to operate through a broker. Brokers are the intermediaries between those who trade, whatever the modality, and the market. Without brokers, there would be no trading and without traders, there would be no brokers, it is an ecosystem.
So, money managers can trade and manage their portfolios only through a broker, who necessarily charges the money manager.
The money manager must keep low commissions in order to offer affordable rates to the clients and attract a larger number of investors. One of the highest commissions is those payable to brokers, which increases the price of the portfolio management service.
The fees charged to managers by other brokers are usually quite high and are governed by the conditions imposed by these brokers. This undoubtedly leads managers to look for other options.
The solution is to set up their own broker. By doing this, the manager's profit is 100% and under his own conditions. This creates more freedom for the money manager, who in turn can lower the commissions they charge to their clients for managing their portfolios.