MMI-Cerulli Q2 2020 Advisory Solutions Data Available

MMI and Cerulli Associates announce the release of the Q2 2020 edition of Advisory Solutions Quarterly, which provides statistics on the managed accounts industry as of June 30, 2020. The managed accounts industry experienced a strong recovery from the COVID-19-induced market collapse, increasing 13.1% during the second quarter. The “V-shaped” recovery of the financial markets drove assets back to $7.3 trillion – just slightly below the record high of $7.4 trillion at the end of 4Q 2019. 

Download Advisory Solutions Quarterly – Q2 2020

Managed Accounts: Moving Beyond the Wirehouses
This edition also examines the broadening of the managed accounts market to new types of advisors and clients – and the opportunities this creates for asset managers. The lines between channels and firms are progressively harder to distinguish in retail wealth management, and advisors across all channels expect to increase their allocations to separate accounts over the next two years. For asset managers prepared to tailor their marketing and messaging approaches, the independent registered investment advisor (RIA) and bank channels may present strong opportunities to expand the distribution of their managed account offerings.   

Among the key takeaways:

  • During the past decade, the percentage of managed account assets at wirehouses declined from 60% to 45%, and the market share of all other sponsor channels increased.
  • While the expansion of managed accounts offerings to new channels has been notable, advisors in non-wirehouse channels still allocate only 8%-10% of client assets to separate accounts – half that of their wirehouse counterparts. 
  • Because channels and firms increasingly resemble one another, asset managers should expect to encounter the same level of sophistication and due diligence across channels throughout the sales process.

MMI-Cerulli Advisory Solutions Data Portal Updated
The MMI-Cerulli Advisory Solutions Data portal on Cerulli’s Lodestar platform has also been updated with Q2 2020 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.

As you navigate this challenging environment, please feel free to reach out if we can be of any help.

  • Accessing the Advisory Solutions Quarterly report – call (646) 868-8500 or email events@mminst.org
  • Questions on the report, access to the online portal, or contributing data – email mmidata@cerulli.com