Netwealth delivers strategic positive messaging

Mike Taylor

Managing Editor and Publisher

8 July 2026

With its share price having rebounded from its Shield compensation payments, Netwealth has announced an expansion of its relationship with Morgan Stanley Wealth Management and targeted a doubling of funds under administration (FUA) over the next four years.

In an update filed with the Australian Securities Exchange (ASX), Netwealth said its expanded relationship with Morgan Stanley Wealth Management Australia would see it providing a platform solution for ASX listed equities and domestic investments.

It said the agreement represents an important milestone in the firm’s expansion into the stockbroking and private wealth market which it described as representing an addressable opportunity of approximately $600 billion in FUA.

The announcement said the agreement represents an expansion of Netwealth’s existing relationship with Morgan Stanley’s wealth business in Australia.

It said that under the agreement a subset of Morgan Stanley clients would have the option to transition their assets from Morgan Stanley’s legacy domestic platform to the Netwealth platform with Morgan Stanley advisers retaining and managing their client relationships.

Commenting on the arrangement, Netwealth chief executive and managing director, Matt Heine said it reflected a deliberate multi-year investment to extend the firm’s product and platform capabilities.

In a broader update to the market, Netwealth said FY26 FUA net flows are expected to be $15.4 billion albeit that the firm’s fourth quarter net flows had been “modestly impacted by the recent Middle East conflict, associated market volatility and recently proposed tax changes”.

The announcement said Netwealth believed the impact to be temporary.

Netwealth’s announcement also reaffirmed its FY26 EBITDA margin guidance of approximately 49%, investment in capitalised software of approximately $12 million and a FY26 dividend to be based on underlying earnings.

Giving its outlook, the Netwealth update reinforced the positive by claiming that recent investments were delivering tangible high returns on investment.

“The continued developed of Netwealth Private and the introduction of iHIN capability have expanded Netwealth’s addressable market and are generating new growth opportunities beyond traditional advice channels,” it said.

The announcement said that for FY27, Netwealth currently anticipates:

• FUA net flows of $18 billion to $20 billion representing an increase of 17% to $30%
• Operating with an EBITDA margin of approximately 47% reflecting the planned step-up in focused initiatives for FY27; and
• Investment in capitalised software of approximately $17 million.