Build stronger client relationships with managed accounts

Managed accounts offer many benefits to a financial advice practice, including efficiencies and scalability. One of the main advantages is the way they fundamentally change the conversation with clients, lifting them from trading and stock stories to a more strategic focus.

It’s time to move the conversation from administration

Without managed accounts, the process to make changes to a client’s portfolio can be slow, cumbersome and require hours of back office administration. The process not only involves excessive paperwork, it can also mean that the vast majority of your client interactions are based around tedious paperwork concerns.

Clients could be forgiven for wondering what they’re paying ‘an expert’ for if they’re continuously bothered with minor decisions.

The focus on stock selection and trade execution decisions can keep the client conversation at the wrong level. The focus is usually on “How are your investments performing?” rather than the more strategic, and ultimately more helpful, “How are we tracking against your goals?”

Managed accounts allow a more strategic focus

With managed account solutions, depending on whether you buy, partner or build, the investment process is either performed in-house or outsourced to fund managers or research houses, and the rebalancing is performed by the platform. Regardless, you no longer have to spend time on stock selection or trade execution, enabling you to be more proactive and have more compelling conversations with your clients.

It’s a different discussion and a different relationship

  • Transparency – Together, you and your client can view the assets that form their portfolio. You can see performance and valuations, review dividends and associated franking credits for shares, managed fund distributions and see all investment trades and any fees and costs. The conversation can reflect on whether the portfolio as a whole is delivering the desired outcomes.
  • Portability – Managed accounts give your clients flexibility. Assets may not need to be realised if they’re moved. Clients can take the portfolio with them, transfer assets in or switch between portfolios easily*.
  • Efficiency – Managed accounts have an investment discretionary structure that removes the hassle associated with needing to approve individual trades. Having signed up to their objective, your clients can sit back with the confidence that their investments will be managed professionally to meet their goals.

These benefits position you, the adviser, as a specialist, with more time to provide in-depth investment advice and have more strategic conversations. You’ll be able to help them make well-informed financial decisions, creating a path to reach financial success and security in the future.

Consider using managed accounts in your business today. Find out how from the experts.

* In some cases, this may not apply to superannuation accounts.

Related Content



Add new comment