In banking, a managed account is a fee-based

investment management Investment management is the professional asset management of various securities, including shareholdings, bonds, and other assets, such as real estate, to meet specified investment goals for the benefit of investors. Investors may be instit ...

product Product may refer to: Business * Product (business), an item that serves as a solution to a specific consumer problem. * Product (project management), a deliverable or set of deliverables that contribute to a business solution Mathematics * Prod ...

for

high-net-worth individual High-net-worth individual (HNWI) is a term used by some segments of the financial services industry to designate persons whose investible wealth (assets such as stocks and bonds) exceeds a given amount. Typically, these individuals are define ...

s. The main appeal for wealthy individuals is the access to professional money managers, a high degree of customization and greater tax efficiencies in a fee-based product. They are not to be confused with managed bank accounts such as

thinkmoney Thinkmoney, stylised as thinkmoney, is a UK-based banking services provider that primarily offers current accounts for a fixed monthly fee with no overdraft or transaction charges. Thinkmoney's online system offers a budgeting service that see ...

, e-money accounts and basic bank accounts, all of which are consumer banking products in the UK. Managed accounts started as

separately managed account In the investment management industry, a separately managed account (SMA) is any of several different types of investment accounts. For example, an SMA may be an individual managed investment account; these are often offered by a brokerage firm th ...

s (SMAs) and have since evolved into multiple strategy accounts (MSAs) and the rapidly emerging

unified managed account Unified managed accounts are managed investment accounts that have developed out of separate accounts. Where a separate account holds the securities associated with a single investment manager or style managed for a client, a unified managed acc ...

s (UMAs). There is broad agreement that managed accounts provide the added benefits of greater transparency, liquidity and control. Managed account minimums and the cost to operate managed account programs have steadily dropped as technology helps with efficiency and scale. Increasingly, managed account products are seeing interest from the "

mass affluent In marketing and financial services, mass affluent and emerging affluent are the high end of the mass market, or individuals with US$100,000 to US$1,000,000 of liquid financial assets plus an annual household income over US$75,000. Mass affluent ...

" as well. The retail managed accounts industry was sized at $1.70 trillion in 3Q 2009. Managed Accounts are typically offered by global

investment bank Investment is the dedication of money to purchase of an asset to attain an increase in value over a period of time. Investment requires a sacrifice of some present asset, such as time, money, or effort. In finance, the purpose of investing is ...

s and specialist investment firms.

References

{{reflist Bank account Investment management