Fidelity Investments has expanded its institutional separately managed account lineup with six custom strategies and two model offerings for registered investment advisors and broker-dealers. The new products combine Fidelity’s active management and quantitative research capabilities with portfolio personalization and tax-management features.
The six custom offerings are part of the Fidelity Institutional Tax-Managed Enhanced Equity and Fidelity Institutional Tax-Managed Fundamental Equity lineups. Each lineup includes large-cap core, growth and value strategies.
The enhanced equity strategies use a benchmark-aware approach that draws on multiple sources of potential excess return. The fundamental equity strategies combine systematic portfolio construction with concentrated stock selection based on Fidelity’s investment research.
Separately managed accounts hold securities directly in an individual client’s account rather than pooling assets with other investors in a mutual fund. This structure can allow advisors to tailor portfolios around a client’s tax circumstances, investment preferences and restrictions.
Fidelity’s tax-managed custom strategies may use techniques such as realizing investment losses to offset taxable gains and deferring certain capital gains. These strategies seek to improve after-tax returns while limiting differences from their applicable benchmarks, but Fidelity does not guarantee that the techniques will produce a particular tax result.
The new custom strategies are available to RIAs through Fidelity’s custom SMA platform, which is integrated with its Wealthscape brokerage technology. The platform is designed to help firms onboard clients, customize allocations, implement investment strategies and monitor accounts.
Fidelity launched its Institutional Custom SMA lineup in 2022. The platform has since expanded to 50 preconfigured strategies, along with custom blends that allow advisors to combine multiple indices or investment strategies into a target allocation.
The company also introduced the Fidelity Institutional Blue Chip Growth Focused Model SMA and the Fidelity Institutional Small Growth Focused Model SMA. These products give wealth managers additional access to Fidelity’s active equity strategies while preserving personalization and tax-management capabilities through managed account platform overlays.
Unlike a custom SMA, a model SMA provides financial intermediaries with a recommended portfolio that can be implemented and adjusted through an outside managed account platform. This approach can make it easier for wealth management firms to deliver specialized investment strategies across a larger number of client accounts.
The new model portfolios can also be incorporated into unified managed accounts. UMAs combine multiple investment products and strategies within one account, potentially simplifying portfolio administration, reporting and tax management.
Fidelity now offers eight active equity model SMAs covering domestic equities, sectors and international markets. It also offers five factor-based model SMAs and two index model SMAs through Fidelity Managed Account Xchange and selected third-party platforms.
Fidelity develops its institutional SMA strategies with input from its Quantitative Research and Investments division. The group includes more than 250 quantitative researchers, data scientists and technologists who use proprietary data, alternative datasets, systematic methods and human investment judgment.
The expanded lineup reflects increasing demand from wealth management clients for portfolios tailored to individual needs. Fidelity said the ultra-high-net-worth population has increased by more than 40% during the past decade, contributing to demand for personalized investment and tax-management services.
As of March 31, 2026, Fidelity reported $17.9 trillion in assets under administration, including $7 trillion in managed assets. The privately held company serves individual investors, families, employers, wealth management firms and institutions.
KEY QUOTE:
“Demand for a personalized investing experience continues to grow, particularly among ultra-high-net-worth investors, a population that has grown by more than 40% in the past decade. We’ve consistently expanded the range of investment capabilities available to advisors serving those who are looking for a more bespoke experience.”
“Fidelity’s mix of active, direct index, and factor-based SMA strategies offer deep portfolio customization and apply tax management techniques through our proven digital experience, enabling advisors to deliver high-touch service.”
Amanda Robinson, Head of Wealth Advisory Managed Solutions Distribution at Fidelity Investments
