The Managed Accounts 2010study by Cerulli Associates says that wirehouses' share of the separately managed accounts industry, currently at 56% of the $1.9 trillion in SMA assets, is on the decline, and by 2014 will only total 50%. This, according to Cerulli analysts, is due to the growing importance of fee-based business in the SMA business.
The study, released Tuesday, also finds that fee-based managed accounts will become more important to wirehouses. However, according to the research report, much of the wirehouse channel's future prospects for success will depend on "the success of the integration of the pending mergers and joint ventures" between the wirehouses, along with the ability of those firms to retain and recruit advisors to the channel
