MMI-Cerulli Q3 2024 Advisory Solutions Data

Managed Account Industry Assets
Grow 6.5% in Q3 2024
- MMI-Cerulli Data

The newest edition of MMI-Cerulli Advisory Solutions Quarterly, with data through 9/30/2024, is now available for download.

Managed account growth remained robust in Q3 2024, with assets increasing 6.5% to end the quarter at $13.5 trillion. Unified managed account (UMA) programs exhibited the strongest quarter-over-quarter growth (8.7%) as sponsor firms continue to consolidate their managed account platforms and build out the necessary capabilities to deliver a unified offering. ETF advisory (7.7%), separate account (7.4%), and rep as advisor (6.1%) programs also experienced substantial growth during the quarter.

Q3 net flows into managed account programs increased 18.0% to $214.5 billion, the strongest quarterly growth of the year, with separate accounts ($67.3 billion) and UMA ($64.7 billion) programs leading the way.

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Managed Accounts Continue to Benefit from Shift to Fiduciary

This edition of Advisory Solutions Quarterly also examines the continued uptake of managed account programs relative to brokerage relationships across advisor channels.

Managed accounts continue to thrive, with one- and two-year growth rates of 28.0% and 50.1%, respectively, benefiting from the transition from brokerage to fiduciary relationships. The share of advisor-managed assets in fee-based fiduciary relationships grew from 40% in 2014 to 56% at the end of 2023. Wealth managers have largely adjusted their businesses in response to the SEC’s “Regulation Best Interest” and the increasing client demand for advisors to prioritize their best interests while providing goals-based advice.

Assets in fee-based fiduciary relationships (2023)

While Independent B/Ds/Insurance B/Ds (50%) and Wirehouses (45%) have the highest percentage of their total assets in managed account programs, this trend has penetrated the entire industry as each channel has increased its advisor-managed fiduciary assets by at least 11 percentage points since 2014.

Chart - Advisor-Managed Fiduciary Assets ($ Trillions)

Chart - Percentage of Channel Assets in Managed Account Programs

Dive deeper into the report for insights in four key areas:

Asset management distribution
Long-term managed accounts industry trends
Top-managed account program sponsors across all industry segments
Asset allocation model portfolios

MMI-Cerulli Advisory Solutions Data Portal

The sponsor and manager dashboards on the MMI-Cerulli Advisory Solutions Data tab on Cerulli's client portal have now been updated with Q3 2024 data.  As a reminder, MMI members that contribute their advisory solutions data to Cerulli on a quarterly basis have access to this online portal. It allows users to take a deeper dive into the MMI-Cerulli dataset – with the ability to sort, filter and export the data for business planning and presentation purposes.