Managed account FUM grows 22%
Improved client education has helped managed accounts to grow to $135.8 billion, according to the Institute of Managed Account Professionals (IMAP).
In its latest Managed Accounts FUM Census from IMAP and Milliman, which surveyed 51 organisations, found as of 30 June, 2022, funds under management were $135.8 billion, a 22% rise compared to June 2021.
FUM in separately managed accounts/managed investment schemes increased from $51.09 billion in June 2021 to $70.56 billion while managed discretionary accounts (MDA) services increased from $48.01 billion to $50.64 billion. ‘Other’ services increased from $11.91 billion to $14.61 billion.
However, MDA services declined slightly from $52.76 billion in December 2021 as a result of changes in categorisation by providers.
Toby Potter, chair of IMAP, said: “The investment in client education by financial advisers and investment providers is clearly resulting in a greater focus on clients investing to achieve their longer term goals, and using the structured process that managed accounts provide.
“There has been little sign of clients withdrawing funds when market fluctuations occur. Plus the efficiencies of managed accounts means that advisers have more time to focus on communicating with clients.”
AUTHOR
Laura Dew
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