The Netwealth Group Ltd (ASX: NWL) share price is in focus today after announcing an expanded relationship with Morgan Stanley (NYSE: MS) and providing an FY26 outlook. Key highlights include preliminary FY26 funds under administration (FUA) net flows of $15.4 billion, and projected FY27 FUA net flows rising to between $18 billion and $20 billion.
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What did Netwealth Group report?
- Preliminary FY26 FUA net flows: $15.4 billion
- Projected FY27 FUA net flows: $18–20 billion (up 17%–30% on FY26)
- FY26 EBITDA margin guidance: ~49%
- FY27 expected EBITDA margin: ~47%
- Capitalised software investment: $12 million (FY26), expected $17 million (FY27)
- FY26 dividend to be based on underlying earnings
What else do investors need to know?
Netwealth has expanded its agreement with Morgan Stanley Wealth Management Australia to provide a platform solution for ASX-listed equities and domestic investments. This major win comes on the back of recent investments in technology and product offerings, including the launch of Netwealth Private and integrated iHIN capability.
A subset of Morgan Stanley's clients will transition to the Netwealth platform, which will operate alongside Morgan Stanley's proprietary global platform. Advisers will continue to manage relationships, but the move highlights Netwealth's strategic push into the $600 billion stockbroking and private wealth market.
What did Netwealth Group management say?
CEO and Managing Director Matt Heine said:
We are pleased to announce the expansion of our relationship with Morgan Stanley, which reflects the deliberate, multi-year investment we have made to extend our product and platform capabilities in a highly scalable way. The investment has underpinned the continued development of our product offering, including the delivery of Netwealth Private and individual HIN capability, alongside a platform designed to deliver scale, digital enablement, and a high-quality client experience that supports our adviser clients and their growth.
What's next for Netwealth Group?
The company sees strong growth momentum, supported by structural and demographic trends in the platform market. Netwealth aims to double FUA over the next four years, driven by core growth, new client wins, and expansion into adjacent markets.
Management expects continued investment in product, technology, and service delivery to further enhance platform capability and scalability. The group will remain disciplined with capital allocation, targeting high-return opportunities that support long-term earnings growth.
Netwealth Group share price snapshot
Over the past 12 months, Netwealth shares have risen 43%, outperforming the S&P/ASX 200 Index (ASX: XJO), which has risen 3% over the same period.
