Web hero 3600x900
CUSTOM RESEARCH

The Case for Direct Indexing: Differentiation in a Competitive Marketplace

December 1, 2022

Demand for customization and differentiation from financial advisors and wealth management firms will lead to a surge in assets for direct indexing, with assets expected to grow at a five-year compound annual growth rate (CAGR) of 12.3% and close 2026 with $825 billion in total assets.

Growth is expected to exceed that of exchange-traded funds (ETFs), mutual funds, and retail separate accounts.

Our latest white paper, sponsored by Parametric Portfolio Associates, examines how leading advisors use direct indexing to differentiate their practices in an increasingly competitive environment with seven real-life case studies. Explore why advisors recommend direct indexing to address clients’ needs and learn how it can fit into your business.

Key case studies evaluated include:

Money decrease icon 53

Tax-Loss Harvesting

Core-Satellite Portfolio Construction

Door icon

Trimming Highly Appreciated Stock Positions

Exiting Concentrated GameStop Position Scores Points

Hand heart icon 54

Planned Charitable Giving

Helping First-Generation Wealth Creators Fulfill Their Charitable Plans

Esg wp icons person headset copy 4

Environmental, Social, and Governance Investing

Coastal Practice Using ESG for Specialized Client Acquisition

Gauge

Customized Fixed-Income Ladders

Making $50 Million in Cash Work for the Client

Download your copy

Submit your information to download a PDF of the paper

Report Authors

Michael Manning

Michael Manning

Analyst

Bio →

Michael Manning

Michael Manning

Analyst

Michael is an analyst in the Wealth Management practice at Cerulli, specifically working in Managed Accounts. He is a contributor to the U.S. Managed Accounts annual report and The Cerulli Edge series, providing quantitative and qualitative analyses. He also supports various consulting projects within the Wealth Management practice.

Prior to joining Cerulli Associates, Michael started his career as a financial analyst at Granite Telecommunications where he created quote proposals and developed special pricing analyses in response to customer needs.

Full biography here.

John McKenna

John McKenna

Research Analyst

Bio →

John McKenna

John McKenna

Research Analyst

John specializes in investor trends and behaviors across different provider and advisory relationships. He contributes to The Cerulli Edge—U.S. Retail Investor Edition series and two annual reports, as well as providing quantitative and qualitative analyses for multiple practices and consulting engagements.

Prior to joining Cerulli Associates, John was an assistant at Harvard Kennedy School of Government, researching philanthropic habits among ultra-high-net-worth Chinese and American benefactors.

Full biography here.

Bing Waldert

Bing Waldert

Managing Director, U.S. Research

Bio →

Bing Waldert

Bing Waldert

Managing Director, U.S. Research

Bing Waldert leads Cerulli’s U.S. Research team comprising seven research practices that cover all elements of the U.S. asset management, wealth management, and retirement markets. He has authored Cerulli reports on the wealth management industry, high-net-worth market, the annuity industry, and retirement markets. He is a frequent board-level and C-suite speaker and well-regarded industry thought leader. He has spoken in front of the Investment Company Institute (ICI), the Asset Management Association of China (AMAC), the Investments and Wealth Institute (IWI), and the Money Management Institute (MMI).

He has worked on client projects on emerging manager expansion strategies, independent registered investment advisors (RIAs), multi-family offices (MFOs), investment platforms, and the outsourced chief investment officer (OCIO) industry. In addition, he has advised multiple private equity firms on acquisitions in the wealth management space.

Full biography here.

You may also be interested in

  • Annual report
  • The Cerulli Edge
Consulting module vector 50

Strategic Consulting & Custom Research

Cerulli for Consulting

Understand where to allocate resources to achieve your objectives. We can help you determine which initiatives are likely to be successful and those that may not achieve the desired effect. In an increasingly competitive market, our objectivity and experience can help you to advance your firm’s unique strengths.

Learn More

We use cookies to improve your site experience, distinguish you from other users and support the marketing of our services. These cookies may store your personal information. By continuing to use our website, you agree to the storing of cookies on your device. For more information, please visit our Privacy Notice.