LPL Financial's research division has expanded its model portfolio lineup with 17 new building-block strategies, pushing the platform's total assets under management beyond the $100 billion mark. The additions bring the firm's suite to more than 70 distinct strategies, available to the roughly 32,000 advisors who custody assets with the independent broker-dealer.
The new offerings are designed as modular, single-purpose sleeves, each targeting a specific asset class or investment outcome across equities, fixed income, and alternatives. Advisors can deploy them individually or combine them to construct tailored client portfolios, including within unified managed account (UMA) structures that consolidate multiple strategies under one roof and enable total-portfolio tax management.
"The introduction of our building block model portfolios enhances the flexibility and choice we provide to advisors and institutions," said Marc Zabicki, LPL's chief investment officer, in a statement. The move reflects a broader industry shift toward personalization and tax optimization, a trend highlighted by research from Cerulli Associates, which projects UMAs will become the industry's largest platform type.
U.S. managed account assets reached $13.7 trillion in 2024, a 19.8% year-over-year increase, according to data cited by LPL Research. UMAs posted an 18.7% five-year compound annual growth rate, with separately managed accounts (SMAs) close behind at 18.3%. The growth underscores the increasing demand for customized investment solutions among advisors and their clients.
Institutional-grade tools for independent advisors
Garrett Fish, CFA, LPL's head of model portfolio management, wrote in a company blog post that the building block approach aims to extend "institutional-grade customization" to a far wider range of clients. The strategies are available as single-asset mutual funds, ETFs, and SMAs, giving advisors the flexibility to match vehicle type to client need without sacrificing portfolio control.
"Surpassing $100 billion in model portfolio assets reflects the strength of our investment platform, the performance of our strategies and the trust advisors place in our team," said Aneri Jambusaria, LPL's chief wealth officer. LPL did not disclose individual strategy performance figures.
The milestone is significant for a segment that has matured quickly. As recently as 2024, advisors debated whether model portfolios represented a surrender of investment differentiation or a smart use of time. The conversation has largely shifted, with managed account assets in the U.S. hitting $16 trillion at year-end 2025, according to figures cited by LPL Research. The model portfolio category has become a key battleground among major custodians and broker-dealers competing for advisor loyalty.
LPL, which manages approximately $2.6 trillion in total brokerage and advisory assets across some 1,100 financial institutions serving around 8 million Americans, has leaned into the model portfolio space as a means of deepening advisor relationships. The firm's push comes as competitors like Ameriprise invests heavily in AI to gain a tech edge, and as broker-dealers navigate volatility with tech and alts.
For independent advisors, the modular approach offers a way to maintain a bespoke feel while leveraging LPL's research and risk management. The ability to combine building blocks within a UMA also addresses the growing demand for tax-aware investing, a key concern for high-net-worth clients. As the model portfolio market becomes more crowded, LPL's scale and flexibility may prove decisive in retaining and attracting advisors.
