Managed Accounts Australia 2025: Benefits, Trends & What Investors Need to Know

Australians are increasingly turning to managed accounts as a smarter, more transparent way to invest. With market volatility, new regulatory standards, and the rise of digital advice platforms, 2025 is shaping up as a landmark year for this investment solution. But what exactly are managed accounts, why are they gaining ground, and what recent changes should investors know about?

What is a Managed Account and How Does it Work?

At its core, a managed account is an investment portfolio owned by an individual investor but managed by a professional investment manager. Unlike traditional managed funds, where your money is pooled with other investors, managed accounts give you direct ownership of the underlying assets—think shares, ETFs, or fixed income products—while the manager makes buy and sell decisions on your behalf.

• Transparency: You can see exactly what you own and the trades being made.

• Personalisation: Portfolios can be tailored to your goals, risk profile, and even ethical preferences.

• Tax efficiency: Direct ownership allows for strategies like tax-loss harvesting, potentially lowering your tax bill.

Platforms such as Netwealth, HUB24, and BT Panorama have made managed accounts accessible to more Australians, with minimum investments now as low as $10,000 in some cases.

2025 Policy Updates and Industry Trends

This year, ASIC’s ongoing scrutiny of advice and investment product transparency has led to several key changes impacting managed accounts:

• Fee Disclosure: New rules require clearer, more granular disclosure of all fees, including platform, management, and transaction costs. Expect more competitive pricing and fewer hidden surprises.

• ESG Integration: In response to investor demand and new sustainability disclosure standards, many managed account providers now offer ESG-aligned portfolios as standard options.

• Digital Advice Integration: Automated portfolio rebalancing and real-time reporting are now the norm, making it easier for investors to track performance and stay aligned with their goals.

According to the Investment Trends 2025 Managed Accounts Report, assets in managed accounts have surged past $170 billion, with advisers citing efficiency, transparency, and improved client outcomes as major drivers.

Are Managed Accounts Right for You?

Managed accounts aren’t just for the wealthy or institutional investors—they’re now a mainstream option for Australians who value professional oversight and greater transparency. Here’s who might benefit most:

• Time-poor investors who want expert management without the admin burden.

• SMSF trustees seeking direct asset ownership and tax control.

• Ethical investors keen to align portfolios with personal values.

Real-world example: Consider Rachel, a 48-year-old professional in Melbourne. In 2024, she switched her $250,000 super balance into a managed account with a focus on low-carbon investments. The direct ownership structure allowed her to exclude certain sectors and realise tax benefits by selling underperforming assets—something that wasn’t possible in her old pooled fund.

However, it’s important to compare fees, minimums, and portfolio options across providers. And while automation is increasing, human advice remains vital—especially for complex financial needs or when tailoring an investment strategy to changing life circumstances.

How to Get Started with Managed Accounts in 2025

• Review your investment goals and risk appetite.

• Research platforms and providers—look for transparency, digital access, and portfolio flexibility.

• Ask about portfolio options: Can you tailor for ESG, income, or specific sectors?

• Check the total cost: Management fees, platform fees, and transaction costs should all be clear.

• Consider seeking professional advice for portfolio selection and ongoing management.

With strong regulatory oversight and digital innovation, managed accounts are set to remain a key part of Australia’s investment landscape in 2025 and beyond.