91视频下载链接

Brokerage Firms Shift Away from Centralized Portfolio Management as Advisor Autonomy Grows

Posted on December 11th, 2024 at 11:03 AM
Brokerage Firms Shift Away from Centralized Portfolio Management as Advisor Autonomy Grows

From the desk of Jim Eccleston at 91视频下载链接

After years of promoting centralized portfolio management, brokerage firms are increasingly supporting advisors who prefer more control over investment decisions, according to AdvisorHub. Recent data from Cerulli Associates, a Boston-based consulting firm, indicates that firms are less focused on using home-office discretionary portfolios, with only 30 percent ranking them as a priority this year, down from 47 percent in 2022. Meanwhile, 70 percent of firms are emphasizing improved portfolio construction tools for advisors, up from 56 percent last year.

While in-house models have traditionally been viewed as less risky and often perform well, firms are now prioritizing flexibility. AdvisorHub reports that concerns about advisor attrition has led firms to offer more tools that support advisor-managed strategies instead of requiring reliance on home-office portfolios.

Regional and independent firms are leading this trend, offering greater autonomy through rep-as-portfolio-manager programs. RBC Wealth Management U.S. holds the highest percentage of assets in these programs at 55 percent of its $250 billion in advisory assets. Raymond James and Wells Fargo follow with 46.3 percent and 37.1 percent, respectively. In contrast, large wirehouses like Morgan Stanley and Merrill Lynch have seen a slight decline in rep-as-PM assets, as they shift toward Unified Managed Accounts (UMAs). Those UMAs allow some advisor control while including guardrails like tax optimization, appealing to those who want more say in portfolio construction.

 

91视频下载链接 LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law

Return to Archive

TESTIMONIALS

Previous
Next

We just wanted to say thanks for your work in helping us get back some of the money we lost. We are not by any means rich, but we have saved some money and we have done so through a tight-fisted approach to most everything we do. So losing a significant chunk of money hurt…especially at a time when everyone else was growing their accounts. We really appreciate the work you did.

Allan and Adele

LATEST NEWS AND ARTICLES

May 13, 2025
Merrill's Investment Solutions Chief Outlines Growing Role for Alternatives in Client Portfolios

At Merrill and Bank of America Private Bank, alternative investments have become a core focus of portfolio construction, according to Financial Planning.

May 12, 2025
FINRA Clarifies Proposed Changes to Outside Activities Rule

FINRA released a statement this week addressing misconceptions surrounding its proposed updates to the rules governing outside business activities by associated persons of broker-dealers.

May 9, 2025
FINRA Suspends Former Wells Fargo Advisor Over Unauthorized Transfer in Elderly Client's Account

FINRA has fined and suspended former Wells Fargo financial advisor Jarrett Thomas after he executed a $50,000 transaction for an elderly client despite being informed that she was no longer capable of managing her finances.