AMP has launched a separate managed account (SMA) product called AMP Personalised Portfolio in response to demand from advisers.
"We have seen a demand for a blend of direct equities solutions together with managed funds solutions," AMP Product Manufacturing Director Paul Sainsbury said.
"It's through working with our financial planners that we've realised they really want to expand SMA solutions beyond just direct equities in model portfolios to include individual equity portfolios that the investor might have themselves, and indeed to access managed funds as part of a diversified portfolio."
Some of Australia's 360,000 self managed super fund (SMSF) investors have switched to SMAs as they found they have little time to make daily investment decisions, or they simply do not have enough knowledge about how to manage investments.
AMP hopes the product will appeal to SMSF investors, but said it was still too early to tell how strong the demand will be from this sector.
"It's fairly early days in the evolution of this product, but we know from the US that there is quite a strong demand," Sainsbury said. "We see this as a longer-term play, so the short-term is not that relevant in this sense."
The product has been available through a pilot since the first half of last year, but so far uptake has been modest.
The minimum investment is $100,000 and AMP recommends a minimum of at least $50,000 per SMA model portfolio and $1,000 per managed fund to justify transaction and administration costs, while ensuring that an appropriate mix of assets is achievable.
AMP Personalised Portfolio offers 25 SMA model portfolios, primarily covering the Australian shares asset sector, and 60 managed funds.
