Chinese firms, for example, derive 60% of their income from equities trading, putting them "at the mercy of equity markets and turnover, as well as their mainly retail investor base, " said Bonn Liu, a partner at KPMG China.

WSJ: Asian Brokers Benefit From Rising Stock-Trading Volumes

As we have explained in previous Alerts and have shown in the investigations undertaken on behalf of clients, consultants have the most to gain when they recommend active managers, specifically active equity managers with substantial portfolio turnover.

FORBES: Public Pension Shortfalls and Consultant Conflicts (September 1, 2002 )

Their competence and duty to advise seemingly encompasses anything a fund may encounter- asset allocation, manager and fund performance, personnel turnover at managers, real estate, private equity, international and emerging markets, hedge funds, fund of funds, brokerage-everything but consultant-related issues.

FORBES: The Duty To Investigate Pension Consultant Conflicts (September 1, 2001)