Managed accounts growth led by MDAs



Managed accounts funds under management (FUM) increased by 8.79 per cent to $47.7 billion at 31 July 2017 with the largest growth in managed discretionary accounts (MDAs), according to the Institute of Managed Account Professionals (IMAP).
IMAP’s latest managed accounts FUM census found the MDA growth over the six months to 31 July increased by 37.14 per cent ($6.21 billion) to $22.93 billion.
This was followed by an increase of 16.01 per cent ($1.98 billion) from separately managed accounts (SMAs) to $14.34 billion, and other services by 5.94 per cent to $10.7 billion.
IMAP chair, Toby Potter, said $4.1 billion of the increase came from companies who had been added to the census, and that over half of the increase was organic growth as advisers increasingly viewed managed account services as their preferred service model for a certain client segment.
“Thirty-seven companies participated in the latest managed accounts FUM census ranging from the very large (major platforms and banks) and smaller MDA providers,” Potter said.
“With several organisations moving service offerings into the larger platforms, and new entrants, this continues to be a very dynamic market.
“IMAP has analysed the increase in Funds under management for managed accounts using the S&P ASX 200 market movement index over the past six months of one per cent as an indicator, and $0.39 billion of the growth is likely the result of market movement.”
Potter said that this meant $4.4 billion of the FUM growth came from existing participants who grew their managed accounts businesses, compared with $2.5 billion in the previous six month period.
Recommended for you
At least two-thirds of ETF flows are understood to be driven by intermediaries, according to Global X, as net flows into Australian ETFs spike 97 per cent in the first half of 2025.
Inflows for the first half of 2025 for GQG Partners stand at US$8 billion, but the firm has flagged fund underperformance could be a headwind for future flows.
BlackRock has announced its plan to acquire real estate investment firm ElmTree Funds which will be integrated into its new private financing solutions business.
With share price growth of 45 per cent for FY25, Australian Ethical has shared why it believes the firm has done so well compared to its active peers.