Fidelity Expands Access to Model Portfolios, Offers More Customization

By Alex Padalka October 27, 2020

Fidelity says it has expanded financial advisors’ access to its model portfolios and now offers more customization within them.

Launched in June 2018, Fidelity Model Portfolios have become available on 16 platforms, including Fidelity’s own as well as those of Envestnet, Orion, Riskalyze and others, according to Fidelity.

Now, Fidelity’s portfolios are also available on the Wealthscape Modeling & Rebalancing tool, Fidelity says.

In addition, the company says it’s rolling out further customization options of model portfolios both at the advisor and the firm level, including the ability to replace vehicles, set preference for certain managers and custom risk profiles and more.

Advisors can tap Fidelity’s model portfolios as standalone investments or as a building block as part of a larger unified managed account, according to Fidelity.

In all, Fidelity says it offers 21 portfolios across various share class options. The models offer a mix of mutual funds and exchange-traded funds, as well as products from Fidelity and third-party vendors, according to Fidelity. The portfolios are available to advisors at broker-dealers, RIAs, banks and insurance firms, the company says.

Fidelity also says that more than 6,000 advisors subscribe to its model portfolio updates, representing a fourfold jump this year.

Research firm Cerulli, meanwhile, recently found that more than 70% of advisors use asset allocation models and says that the model target segment could be up to $7.6 trillion by the end of the year, according to Fidelity.

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