Managed accounts expected to hit $400b by decade end

Yasmine Raso

Senior Journalist, Financial Newswire

20 February 2026

New analysis from Zenith has confirmed managed accounts are expected to surpass $400 billion in assets by 2030 amid volatile conditions, fuelled by increased regulatory scrutiny and technology-enabled scalability.

Zenith’s Head of Portfolio Solutions, Andrew Yap, said appetite for managed accounts from investors and financial advisers alike has only strengthened as the sector continues to leverage technology to enhance capabilities and portfolio construction processes and regulation continues to tighten in the effort to improve governance standards sector-wide.

“Managed accounts are growing rapidly and becoming a more significant part of the Australian market,” Yap said.

“The most recent figures available suggest around $300 billion in assets sits within this segment, with expectations it will grow north of $400–$450 billion by 2030. That’s a very strong growth trajectory for the sector.

“Over the past five years in particular, technology has transformed how managed accounts are constructed. Early models relied on simple spreadsheets that were focused on high level outputs, compared to today where we use institutional-grade systems for cash-flow modelling, stress testing and scenario analysis.

“You can’t assess a portfolio’s durability and probability of achieving targeted objectives without an informed understanding of liquidity, factor exposures and key risks through sophisticated systems. You need to drill into the underlying holdings and understand how a portfolio would behave under stress.”

Yap said technology has also helped to improve risk management practices, especially in relation to monitoring portfolio exposures, factor and liquidity analysis, providing comfort for investors in their capabilities particularly during a volatile time.

“Our approach is to synthesise what’s happening in the broader market, understand what that means for asset allocation, and identify opportunities that represent our best views and the goals of our clients,” he said.

“Technology plays a key role in supporting this process, but importantly, it doesn’t replace it.”

Yap noted that new entrants have capitalised on the sector’s rapid growth to present new opportunities for investors, but urged caution amid a regulatory crackdown on fee and performance outcomes and platform oversight. He urged investors to keep an eye on this regulatory focus – set to continue over the years ahead – which will “separate long-term providers from the more opportunistic players”.

“If managed accounts are a path that someone wants to pursue, they need to be cautious about who they partner with. With that in mind, the onus is on us as providers to help our clients understand what’s happening in the market and why they should feel confident in our approach,” he said.

“The regulator’s focus on fund performance, governance and conflicts of interest will hopefully lift standards across the board, which is ultimately positive for investors.

“Longevity matters in this market. Strong governance frameworks and investment infrastructure take years to build.”