Managed accounts can have a number of advantages over other approaches to portfolio management such as doing it yourself or via a managed fund. The level of benefit received from using an SMA will depend on may factors, though the key reasons for considering an SMA are:

• Appointing a professional manager can result in a superior risk management outcome than typically achieved through managing your portfolio yourself.
• Your SMA portfolio, its cost base and tax position are unique to you and can, usually with the assistance of your adviser, be optimised for your benefit on an after-tax basis.
• Your SMA is housed and your assets held on a government regulated administration platform which provides great confidence that your assets are in safe custody and can be very efficiently managed and transacted by the SMAs portfolio manager.
• Ultimate control rests with you, the investor. You can, usually in consultation with your adviser, turn the appointment of the manager on and off. This does not create a tax event and is typically used to manage a change in personal circumstances or to achieve a superior tax outcome.
• Administration platforms provide 24-hour online reporting access and a host of other reports required for portfolio monitoring and tax information.