Shaw and Partners' SMA platform hits $3 billion — a curated climb in a crowded market

Shaw and Partners has quietly chalked up a significant milestone in its growing wealth management business: its Separately Managed Account (SMA) platform has surpassed $3 billion in funds under management (FUM). The figure, while impressive on its own, is all the more noteworthy given the platform has added over $680 million in net new assets in just the past year - a combination of solid investment performance and steady adviser-led inflows.

Martin Crabb, Chief Investment Officer

It’s a textbook example of what happens when strong portfolio construction, a curated manager line-up, and tight operational execution align - but as with all things in the Australian platform space, the real story is what’s next.

From modest beginnings to a full-suite offering

What began in 2016 as a two-portfolio solution focused on Australian equities and hybrid income has grown into a full-service SMA suite spanning 18 distinct portfolios. The scope is now broad enough to offer exposure across Australian and global equities, small caps, fixed income, hybrids, liquid alternatives and multi-asset, goals-based options.

The strategy? Keep it simple for the end client while offering advisers access to institutional-grade managers, consolidated reporting, and efficient execution. With the managed accounts segment continuing to gobble up flows from traditional wrap and direct investing channels, Shaw’s expansion reflects a clear ambition to cement itself as a cornerstone player in the SMA space.

Leveraging external smarts - and internal strategy

One of the key differentiators of the Shaw model is its hybrid approach to portfolio management. Alongside in-house strategies, the firm has assembled a suite of external fund managers that reads like a who’s who of high-conviction investing: Munro Partners, T. Rowe Price, ClearBridge, Australian Ethical, Bennelong, and EFG, to name a few.

This blend gives the platform a curatorial edge - Shaw isn’t trying to outgun everyone in-house, but rather to act as allocator and gatekeeper, selecting proven managers with distinct styles. For clients, the appeal is clear: diversified exposures with simplified access, all inside a managed account wrapper that’s tax and administratively efficient.

Riding the wave, but with eyes open

The $3 billion figure positions Shaw as a mid-sized but fast-growing player in the SMA market. It’s worth noting that while it still trails larger platform players by volume - Praemium’s SMA FUA sits north of $12 billion - the growth rate at Shaw has caught attention.

Still, in a sector where size confers scale benefits but not immunity from volatility, success hinges on more than FUM. The true test lies in whether the platform can continue attracting flows in a competitive market flush with rivals and increasingly discerning financial advisers.

Performance dispersion, platform stickiness, cost-to-serve, and tech integration remain constant pressure points for anyone operating in the managed account space. Shaw has so far managed to navigate these challenges, bolstered by a leadership team with deep capital markets experience.

Industry recognition, strategic ambition

Recognition from peers hasn’t hurt either. Shaw has recently picked up accolades for its fixed income capabilities and landed multiple finalist spots in industry-managed account awards - from equities to multi-asset categories. The awards may not drive flows directly, but they do send a signal: Shaw’s models aren’t just placeholders - they’re being taken seriously.

Strategically, the firm is now eyeing further expansion across both Australia and New Zealand, leveraging cross-Tasman synergies following its acquisition of ISG. While details are scarce, it's clear that Shaw is positioning itself for trans-Tasman growth, drawing on both scale and boutique agility.

The CIO factor

Behind the scenes, much of the SMA success is credited to Martin Crabb, the firm’s Chief Investment Officer, who has overseen the build-out of the platform from its inception. Known for his clear-eyed analysis and strategic nous, Crabb’s role has been pivotal in shaping the platform’s evolution and manager selection process.

The momentum hasn’t gone unnoticed by advisers either. With the SMA platform now a central part of Shaw’s broader wealth offering, clients and intermediaries alike are increasingly viewing it not as a satellite allocation, but as a core portfolio tool.

So while $3 billion may be a milestone worth marking, it’s ultimately just another waypoint in what’s shaping up to be a longer journey. Sustaining flows, navigating market cycles, and keeping clients engaged will demand the same sharp thinking that got the platform here in the first place. For now, the runway looks long - and Shaw appears ready to run.