Netwealth Group Ltd has secured a major platform agreement with Morgan Stanley (NYSE:MS) Wealth Management Australia, marking its first significant client win from a strategic push into the stockbroking and private wealth market.
Under the deal, Netwealth will provide MSWM advisers with access to a domestic investment platform covering ASX-listed securities, managed accounts, managed funds, cash and term deposits, as well as integrated reporting and a branded mobile experience.
The agreement gives Netwealth a foothold in a sizeable market segment, with the company estimating Australia’s private wealth market represents about $600 billion in addressable funds under administration (FUA).
Multi-year investment pays off
Netwealth chief executive officer Matt Heine said the mandate reflected the company’s deliberate investment in broadening its platform capabilities.
He described the Morgan Stanley win as the result of “deliberate, multi-year investment” to extend Netwealth’s platform offering “in a highly scalable way”.
The deal comes as Netwealth continues to build on strong recent FUA growth, while positioning itself for a larger share of private wealth and stockbroking flows.