Advisors today have access to an increasing number of investment solutions, including delegating client portfolio management to third-party asset managers and investment teams within broker-dealers. The challenge for the wealth management marketplace is in developing an investment process and model portfolios that meet or exceed advisor expectations and clients’ needs, and in convincing advisors to delegate or outsource part or all of their role in managing client assets.
“The bar for portfolio management has been raised, and home-office and third-party model portfolios provide a viable option for advisors in meeting client investment needs while shifting their value proposition to advice and planning,” explains Aite Group senior analyst Dennis Gallant.
This Impact Report addresses the development of chief investment officer teams and model portfolios, distribution and support services, drivers and challenges around advisor adoption, and the roadmap for model portfolios. It is based on Aite Group’s in-depth interviews with senior executives at wirehouses, regional and independent broker-dealers, and top asset management firms offering and planning to offer model portfolios.
