Vanguard Launches Custom Model Portfolios

Misonzhnik, E. (2026, August 12). Vanguard launches custom model portfolios. WealthManagement.com. https://www.wealthmanagement.com/investing-strategies/vanguard-launches-custom-model-portfolios

• Vanguard introduced custom model portfolios that allow financial advisors to personalize the firm's Strategic Active/Passive and Fixed-Income models according to client preferences.

• The offerings encompass multi-asset and single-asset strategies focused on public markets.

• Eve Cout, head of advisor solutions at Vanguard, stated that expectations for personalization and the ability to include more complicated solutions within the portfolio keep rising.

• Advisors can deploy the custom models through Vestmark, operated by SS&C Black Diamond Wealth Solutions, or through Orion's Tailored Allocation Portfolios, both of which support trading, rebalancing, and tax management functions.

• Vanguard will not charge advisors additional fees for customization and will provide white-label and co-branded marketing materials to support client communication.

• Custom model assets reached $258 billion by the first quarter of 2026, a 40% year-over-year increase, with BlackRock leading at $87.2 billion and Wilshire at $75.3 billion, and VanEck, Fidelity, and State Street Investment Management among recent entrants.

• A Morningstar survey found that 47% of advisors cited insufficient customization as a reason for not offering models.

Knote: Custom models are a huge pain point, especially in the UK. The advisor user experience is critical, though. Key points to evaluate are (1) the amount of work and thought required on the part of the advisor during the customization process and (2) how automated is the rebalancing?