SMSF-focused advisers are much more likely to increase their on-platform funds under advice if there is an established managed accounts functionality, according to Tria Investment Partners.
In its latest Trialogue article, the superannuation consulting firm said its Australian Adviser Insights Programme has found that those advisers who focus on SMSF clients allocate on average 20 per cent of their FUAs via separately managed accounts.
Meanwhile, non-SMSF-focused advisers on average allocate only 3 per cent of FUA, Tria said. The research also found that SMSF-focused advisers using SMAs are much more likely to increase their on-platform FUA and less likely to move clients off-platform.
Of those advisers who expect to decrease platform use, 80 per cent were using lead platforms with no managed accounts functionality, the research found.
“We aren’t suggesting that this is the only factor influencing SMSF-focused advisers’ choice of administering FUA on or off-platform, but certainly the correlation suggests that is a key consideration,” Tria said.
The analysis shows the importance of platform providers understanding segmentation among advisers, the firm added.
“It’s importance to look beyond the averages to understand in detail what they want and value. Now more than ever this is particularly critical in large scale technology builds,” Tria said.
“Given the enormity of costs involved, organisations like platform providers quite literally can’t afford to get this wrong.”
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