Client-level investment management is gradually going the way of white tennis balls as asset management becomes increasingly commoditized.

That’s the subheading of the InvestmentNews article. An excerpt:

“From a business management perspective it makes sense to scale the asset management, but when it comes to servicing clients my view is models aren’t necessarily in the client’s best interest when it comes to taxable accounts because that portfolio should be managed unique to each client’s tax profile,” he said. “I don’t know how advisers can scale without model portfolios, but when you consider the extra time and efficiency standpoint, it makes more sense to outsource, and that’s what a lot of advisers do because they’re in the business of gathering assets. Bottom line, financial advisers should be managing taxable accounts.”

See Advice industry tilts toward model portfolios as surest path to building scale in InvestmentNews.