Competition Remains a Bigger Threat to Netwealth Than COVID-19

Netwealth provides investment administration software as a service, or SaaS, in Australia via its proprietary software platform, which includes investment portfolio administration, investment management tools, and investment and managed account services. The company charges for its software based on the value of funds under management on its platform, comprising over 95% of group revenue, in addition to providing Netwealth-branded investment products, which are managed by third-party investment managers. In contrast to the large and well-established vertically integrated Australian wealth management businesses, Netwealth does not own investment management or financial advisory businesses.