Fidelity Investments expands its institutional SMA product line, adding 8 customized and model strategy services for wealth management firms

ME News Message, July 21 (UTC+8): Fidelity Investments, an asset management firm, announced that it is expanding its institutional separately managed account (Separately Managed Account, SMA) product line. The firm will add 6 customized strategies and 2 model strategies for registered investment advisers (RIAs) and broker-dealer clients, to enhance its ability to provide personalized investment services for high-net-worth customers.

The newly added strategies include Fidelity Institutional Tax-Managed Enhanced Equity and Fidelity Institutional Tax-Managed Fundamental Equity. Both strategies cover large-cap core, growth, and value investment directions, combining Fidelity’s long-term active management capabilities with its customized SMA service model. Among them, the enhanced equity strategy uses a benchmark-tracking framework to look for opportunities for excess returns through diversified Alpha factors; the fundamental equity strategy is based on a systematic portfolio construction process and combines it with high-conviction stock selection.

Fidelity said that these strategies are currently available to RIA firms through its customized SMA platform. The platform is integrated with the Fidelity Wealthscape brokerage platform, helping wealth management firms complete client onboarding, strategy customization, execution, and portfolio monitoring.

Amanda Robinson, Distribution Lead for Fidelity Wealth Advisor Managed Solutions, said that as demand for personalized investment experiences continues to grow—especially as the size of the ultra-high-net-worth customer segment keeps expanding—wealth advisors need more flexible and customized asset management tools. Fidelity provides advisors with deeper portfolio customization and tax management capabilities by combining active management, direct indexing (Direct Indexing), and factor strategies.

Since Fidelity launched its institutional customized SMA product line in 2022, the number of standardized SMA strategies it offers has grown to 50. It also supports advisors in forming customized allocation solutions by combining multiple indexes or strategies based on clients’ needs.

In addition, Fidelity has also launched two equity model SMA strategies, including the Fidelity Institutional Blue Chip Growth Focused Model SMA and the Fidelity Institutional Small Growth Focused Model SMA, targeting RIA and broker-dealer clients. These can be integrated into a unified managed account (UMA) framework to achieve more comprehensive and tax-optimized investment management.

Currently, Fidelity has 8 active equity model SMA strategies, covering US equities, sector equities, and international equity markets. It also has 5 factor model strategies and 2 index model strategies via Fidelity Managed Accou (source: ODAILY)