Smaller SMA Firms Fighting To Break Into Options-Based Strategy Business

The expansion of in-house, actively-managed separately-managed account (SMA) strategies by larger institutions is making the going harder for smaller SMA firms. These firms are facing challenges attracting institutional investors due to the rise of direct indexing and mergers between entities such as TD Ameritrade and Charles Schwab that have reduced the number of significant players in the custody of assets and SMA management.