Separately managed accounts, considered our nation's hippest new investment product, slowly have been gaining traction overseas as Japanese brokerages have begun to dip their toes in the pool.

Recently, Daiwa Securities, Japan's second-largest brokerage firm, announced that it will launch an SMA program with the hopes of capturing $270 million to $450 million from high-net-worth clients. That move comes on the heels of rival Nikko Cordial, Japan's No. 3 brokerage, becoming the first Japanese outfit to enter the fray in April, when it announced its partnership with FOLIOfn to offer products modified from the wrap account developed in the 1970s in the United States.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.