Model Portfolios Surge: $18.6T by 2030

Model portfolios constituted approximately one-third of assets within retail intermediary channels as of the first quarter of 2026. Broadridge Financial Solutions forecasts this sector will expand at a double-digit rate over the next four years, potentially reaching $18.6 trillion by 2030. This growth aligns with other industry forecasts showing advisors' increased dependence on these models.

By the end of 2025, model portfolios managed $9.3 trillion in assets, an 18% increase since 2020. The projection for the next four years is an additional 15.4% growth. Broker/dealers currently hold the largest portion of model assets in the retail intermediary channel (45%), followed by RIAs (28%).

However, a recent quarter (Q4 2025 to Q1 2026) saw online channels as the only segment to grow model asset AUM, increasing by 3.6%. In contrast, RIAs experienced a 2.4% decrease, wirehouses a 1.7% drop, and broker/dealers a 1% decrease.

Model providers are increasingly utilizing ETFs, with these vehicles representing 58% of assets in early 2026, up from 54% a year prior. Conversely, the share held by mutual funds declined from 46% to 42% during the same period.