BlackRock Advisor Survey Shows Advancing High-Net-Worth Business is Driven by Tax Management, Private Markets, and Customized Model Portfolios

• Nearly 90% of advisors use model portfolios, in the competition for high-net-worth (HNW) clients, winning advisors – millennial advisors in particular – are customizing them by adding separately managed accounts (SMAs) and alternative investments.
  
  
  
  
• Tax is one of the most significant considerations for HNW investors, with 92% of HNW clients requesting guidance, yet advisors underutilize tax-aware strategies – only 17% say they consider after-tax returns a primary driver of portfolio decisions.
  
  
  
  
• More than half of advisors now invest in private markets, with wirehouse advisors leading adoption, yet allocations remain modest.

BlackRock today released findings from its inaugural Advisor Trends Survey, capturing the perspectives of more than 1,000 U.S. financial advisors across channels, regions, and firm sizes, 92% of whom serve clients with $5 million or more in assets under management.

The results point to a structural shift underway in the advisory industry. Roughly 54% of U.S. household financial assets are now held by high-net-worth and ultra-high-net-worth families, up from 27%¹ just ten years ago – reshaping where growth opportunities exist for advisors and raising expectations for more sophisticated advice.

"As high‑net‑worth wealth rises, advisors face a clear mandate – deliver more personalized, tax‑managed solutions," said Jaime Magyera, Head of BlackRock's U.S. Wealth and Retirement Businesses. "Our research shows advisors are increasingly customizing model portfolios with SMAs and private markets to meet the complex needs of wealthy clients. However, the findings show there is a notable gap in what clients are saying they need help with and what advisors are offering. The advisors positioned to grow will be the ones who create capacity for deeper relationships and modernize how they deliver investment, planning, and retirement outcomes."

Model portfolios are now essential tools and customized, with Millennials leading the shift

Advisors say model portfolios are freeing up time for higher-value client work. Nearly 80% report using model portfolios helps them spend more time with complex or HNW clients, rising to 87% among Millennial advisors.

Compared with previous generations, Millennial advisors reported they are more likely to prioritize growth, operational efficiency, and the use of sophisticated investment and tax strategies such as concentrated stock solutions.

Roughly nine in ten advisors surveyed report using model portfolios, and anticipate AUM in model portfolios to increase to 50% in the coming year.

Customization is also on the rise. Over 50% of HNW advisors using model portfolios in their practice say they utilize SMAs and over 30% incorporate alternative investments, including private markets or liquid alternatives, in their model portfolios.

The report finds advisors use model portfolios for clients of all sizes to shift more of their time toward relationship-building and providing personalized planning services.

Competing for HNW clients requires capacity and personalization

Advisors report that some of the most time-intensive services are also most critical to attracting and retaining HNW clients, such as estate planning (67%), intergenerational wealth planning (58%), and liquidity event planning (53%). Many advisors are outsourcing specialized tasks and leveraging technology to free up time for relationship-building.

Tax planning represents an underutilized competitive advantage

While tax considerations are most relevant among HNW investors and 92% of advisors who serve HNW clients report being asked for tax guidance, only 17% of advisors consider after-tax returns a primary driver of portfolio decisions.

The findings suggest a gap between client expectations and advisor workflows, creating an opportunity for advisors and firms to differentiate through currently underutilized tax-management strategies.

Private markets adoption is rising, but allocations remain modest

More than half of all advisors and three in four wirehouse advisors now invest client assets in private markets, though average portfolio allocations remain relatively small at about 7%. Advisors cite liquidity concerns and a lack of confidence as key barriers, with 68% of respondents expressing a need for additional education on portfolio construction involving private assets.

An industry in transition

Overall, the survey highlights an advisory industry in the midst of transformation. As client wealth grows and expectations evolve, advisors are rethinking how they allocate time, deploy technology, and structure portfolios. The ways firms address gaps in customization, tax planning, and access to private markets may become key drivers of differentiation and organic growth in the years ahead.

About the survey

The 2026 BlackRock Advisor Trends Survey was conducted by independent research firm Escalent between August 22 and September 7, 2025, and reflects the views of over 1,000 U.S. financial advisors across channels, regions, and firm sizes.

About BlackRock

BlackRock's purpose is to help more and more people experience financial well-being. As a fiduciary to our clients and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate

The 2026 Advisor Trends Survey is part of Inside the Practice, resources to help advisors drive greater business efficiency, develop their teams, consider new growth opportunities and deliver for clients and prospects. Read more insights here.

© 2026 BlackRock, Inc. or its affiliates. All Rights Reserved. BLACKROCK is a trademark of BlackRock, Inc. or its affiliates. All other trademarks are those of their respective owners. Prepared by BlackRock Investments, LLC, member FINRA.

¹ Cerulli, "U.S. High-Net-Worth and Ultra-High-Net-Worth Markets 2025 and 2024."

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