Managed accounts and the future of scalable strategic advice
Managed accounts and the future of scalable strategic advice
The advice profession is at a turning point. Since the 2019 Royal Commission, the number of financial advisers in Australia has halved, stabilising at around 15,600 in 2025. Yet demand for advice continues to grow. Over 2.5 million Australians are expected to retire in the next decade, and the country is entering the largest intergenerational wealth transfer in its history. This mismatch between adviser capacity and client need is reshaping how advice must be delivered. Clients want more than investment recommendations—they want strategic guidance that reflects their goals, adapts to life stages and delivers clarity in uncertain markets. At the same time, advisers are under pressure to scale their services without compromising quality. This tension is elevating the role of managed accounts as a foundation for more efficient, consistent and client-focused engagement.
Our research into how advisers are using managed accounts shows how they have evolved from operational tools into strategic enablers. Their value lies not just in automation, but in the time and capacity they return to advisers. A quarter of managed account users reclaim more than seven hours per week from portfolio management tasks. Another 28% report savings of four to six hours weekly. That’s up to 24 hours a month that can be redirected to strategic client engagement, planning and relationship management.
This shift in capacity is not just operational—it’s structural. 67% of advisers say their role is moving toward more strategic advice delivery. The research shows that 88% of managed account users report improved client outcomes, validating that efficiency gains translate into better service and stronger relationships.
This consistency not only supports advisers in meeting their Best Interest Duty, but also reduces service variability, builds client trust, and enables scalable growth. By streamlining portfolio management, advisers are freed up to focus on high-value activities—such as retirement modelling, risk coaching, and client education—that technology alone cannot replicate.
Customisation has kept pace with efficiency. Modern platforms offer ESG overlays, tax optimisation strategies, sector tilts and security substitutions. These tools allow advisers to tailor portfolios within scalable frameworks, meeting the expectations of clients with complex needs. Daily rebalancing and enhanced reporting further support transparency and engagement.
This evolution is particularly relevant in the context of demographic change. A new generation of clients is emerging, those with $1–2.5 million in investable assets, often classified as high-net-worth but sharing many characteristics with mass affluent investors. With the intergenerational wealth transfer set to pick up pace over the next decade this segment in particular is likely to grow significantly. These clients value professional management, efficiency and clarity over bespoke investment structures.
Managed accounts are well suited to this segment. They offer a lower-touch investment approach that still supports strategic advice. For firms looking to attract and retain these clients, managed accounts provide a scalable way to deliver personalised service without increasing administrative burden.
The future of managed accounts is not static. Adviser sentiment points to continued growth. 69% plan to increase SMA usage, and 23% anticipate significant expansion. Over two-thirds expect to spend more time on structuring and planning, while 59% anticipate greater emphasis on client coaching and relationship management.
Technology is enabling this shift. Platforms, like Praemium, that integrate custody and non-custody assets, support tax reporting and offer flexible portfolio construction are helping firms manage complexity without increasing overhead. These capabilities are essential for practices looking to grow sustainably while maintaining high service standards.
Strategic efficiency is not about doing more with less. It is about doing more of what matters. Managed accounts are helping advisers move from reactive portfolio administration to proactive strategic engagement. They are enabling firms to serve more clients, more effectively, without compromising quality.
For practices navigating regulatory pressure, market volatility and rising client expectations, this is an opportunity to rethink delivery models. Managed accounts are not a one-size-fits-all solution, but they are a proven mechanism for enabling scale, consistency and strategic value. The advisers who embrace this evolution will be better positioned to meet client needs, differentiate their service and build sustainable businesses.
For more information on the managed accounts research visit our site https://www.praemium.com/elevate