Adviser interest in managed accounts continues to grow

This week, the wealth platform confirmed that 64 new managed accounts had been added this year, bringing the total to 231.

BT’s head of platforms distribution, Chris Mather, said managed accounts capability is becoming increasingly important as a driver of platform selection.

“At BT we can support advisers looking to develop their own solution across a variety of implementation methods,” Mr Mather said.

“Importantly, we can help advisers navigate the managed account landscape so they can find the best solution for their business.”

The new accounts recently added to the platform include four diversified accounts for PKF Wealth, which boasts a client base of 1,000. Within six months of launching, the accounts have attracted over $100 million.

“Our clients have been very receptive to the new approach, and we look forward to realising even greater business efficiencies as our rollout continues into 2022,” PKF Wealth’s head of investment, Mark Folpp, said.

In a recent opinion piece published on ifa, Colonial First State chief distribution officer Bryce Quirk looked at the evolution of managed accounts over the last 25 years, saying enhanced investment options and changes to product pricing are making managed accounts more affordable and accessible to lower balance clients.

“When clients look at the cost of advice, they consider the total amount they are charged including fees for accessing and implementing investments, and the cost of their adviser’s strategic recommendations,” Mr Quirk wrote.

“By improving business efficiency and removing product fees and fees for asset consultant services, clients using the new breed of managed accounts pay less overall for advice. This makes managed accounts a more viable option for lower balance clients who want professional portfolio management, transparency and beneficial ownership of their investments, without an additional layer of fees.”

Read the full piece here.

Neil Griffiths

Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.

Neil is also the host of the ifa show podcast.