A poll of advisers conducted by Unbiased.co.uk with Legal & General also showed 83 per cent of advisers are currently using risk-targeted funds.
At a round table organised by Legal & General, a panel of financial advisers, fund managers and Paraplanners agreed that risk-targeted funds are becoming increasingly relevant to mass market clients and smaller investors.
Smaller investors are likely to find risk targeted fund propositions more attractive in a post-RDR environment, they concluded.
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Dave Fagan, managing director of intermediaries and institutions at Legal & General, said: "We are continuing to see a natural evolution of the market and risk-targeted solutions are providing reassurance to advisers and clients that there is a clear obligation on the fund manager to keep the fund in the area of risk that they signed up for in the first place.
"Risk-targeted funds are particularly relevant to mass market clients who find advice is less available than it was pre-RDR."
He also believes the personalisation of advice has become focused more at the upper end of the marketplace.
He said: "That doesn't mean that the need for investment advice has changed for the rest of the market.
"In fact, there is probably a greater need for advice now that pension regulation has changed and a greater number of people will have a greater amount of money to invest.
"We need solutions that are cost effective for everyone, not just for those at the upper end."
Stephen Black, managing director of Tier One Capital Ltd, said: "The post-RDR environment has generally pushed the market towards standardisation.
"While it is important that a large IFA firm is offering clients in Edinburgh consistent advice compared to its Newcastle or London office, there is a risk that firms are starting to funnel people into investments because of the ease of managing them across such large organisations, rather than for the benefit of delivering exactly what clients want."
The Legal & General round table "Risk-targeted funds: Do they meet clients' needs?" was held at The Gherkin and attended by Andy Coleman of Cofunds, Abraham Okusanya of FinalytiQ Paraplanners, Elliott Ruby of Emiso, Stephen Black of Tier One Capital and Dave Fagan, Justin Onuekwusi, Paul Measures and Michela De Nicola of Legal & General.