Managed Account Assets Declined 0.2% in the First Quarter – MMI-Cerulli Data
The newest edition of MMI-Cerulli Advisory Solutions Quarterly, with data through 3/31/2026, is now available for download.
The managed accounts industry recorded its first quarter-over-quarter asset decline since Q3 2023, down 0.2% to $16.4 trillion in Q1 2026. Despite the S&P 500's total return of -4.3% in Q1, managed account assets surpassed expectations, attracting substantial net flows of $388 billion throughout the quarter. Unified managed account (UMA) programs garnered the highest flows ($159 billion) as sponsor firms continue to consolidate disparate programs into a single account structure, followed by separate account ($115 billion) and rep-as-portfolio-manager ($76 billion) programs. The industry remains heavily concentrated, as the top-10 sponsor firms account for more than three-quarters of industry assets (77.5%).
ETF advisory programs (2.6%) posted the strongest quarterly growth, though based on just $375 billion in assets as of Q4 2025. UMAs (1.1%) and separate accounts (0.6%) were the only other program types to experience positive growth in Q1 2026. Rep-as-advisor programs (-2.0%) had the most significant drop in assets quarter-over-quarter, as platform sponsors continue to move away from the client-discretionary type. Direct indexing remains the top manager-traded SMA strategy ($1.2 trillion), followed by municipal fixed income ($783 billion), and taxable fixed income ($457 billion). However, in just the second quarter of tracking the strategy, tax-aware long/short strategies climbed to the fourth-largest manager-traded SMA strategy ($117 billion). As has been the case since Q1 2024, large-cap core ($169 billion), large-cap growth ($161 billion), and large-cap value ($142 billion) remain the top model-delivered SMA strategies.
Investors Generally Satisfied but Fiduciary Advice Wins Out
This edition of Advisory Solutions Quarterly also explores investor satisfaction with the advice they receive, with fiduciary relationships yielding the highest satisfaction.
The vast majority of affluent investors are currently satisfied with the advice they receive. Advice relationships tend to be sticky. If a provider can establish a relationship early in a client's financial journey, they can often turn them into a lifelong client, as most investors do not actively compare the prices and services of other providers. While 98% of investors are at least somewhat satisfied with their provider, incumbent providers must not get too comfortable and should remain focused on serving current clients' needs rather than solely on attracting prospects.
In general, investors receiving fiduciary advice are more satisfied than those who do not, as 70% are satisfied and are not seeking a new provider. Among investors who say their provider may recommend products that put the provider's interests ahead of their own, 41% are satisfied and not seeking a new provider, and 56% are satisfied but are open to considering other options. For providers offering fiduciary advice, educating current and potential clients on the benefits of a provider/advisor acting in a client's best interest, and the downsides of those who do not, is a path to building lasting relationships and attracting additional clients.
Affluent Investor Satisfaction with Primary Provider by Expected Standard of Care, 2024
Source: CAIT—Cerulli Affluent Investor Tracker
| How would you describe your overall relationship with your Primary Provider? | My provider/advisor must always act in my best interest | My provider/advisor may recommend products that put my provider's/advisor’s interests ahead of my own |
| Satisfied, not seeking a new provider | 70% | 41% |
| Satisfied, but open to considering other options | 29% | 56% |
| Not satisfied, but not looking for a new provider | 1% | 3% |
| Not satisfied, actively seeking a new provider | 0% | 0% |
Affluent investors in a fiduciary relationship with their provider/advisor report higher levels of satisfaction than those not in such a relationship.
of investors who believe their provider/advisor acts in their best interest are satisfied with their advice provider
Dive deeper into the report for insights in four key areas:
- Asset management distribution
- Long-term managed accounts industry trends
- Top-managed account program sponsors across all industry segments
- Asset allocation model portfolios
MMI-Cerulli Advisory Solutions Quarterly
The Advisory Solutions Quarterly periodical provides holistic analyses of the U.S. fee-based advisory industry, which includes sponsors (broker/dealer firms) that offer managed account programs and the asset managers that distribute those programs through their platforms.
MMI members can use this data to deepen their understanding of:
- Managed account program type assets and growth rates
- Quarterly managed account flows by program type
- Managed account sponsor firm assets at the program level
- Separate account manager assets at the trading discretion level
- Separate account asset classes in highest use by trading discretion type
MMI-Cerulli Advisory Solutions Data Portal
The sponsor and manager dashboards on the MMI-Cerulli Advisory Solutions Data portal on Cerulli’s Lodestar platform have now been updated with the Q1 2026 data. As a reminder, MMI members that contribute their advisory solutions data to Cerulli on a quarterly basis have access to this online portal. It allows users to take a deeper dive into the MMI-Cerulli dataset – with the ability to sort, filter and export the data for business planning and presentation purposes.
Contact
With questions on the report, access to the online portal, or contributing data:
Email mmidata@cerulli.com
For assistance accessing the Advisory Solutions Quarterly report:
Email info@mminst.org
