Praemium is expanding its planner target market by 80 per cent as the firm rolls out SMARTwrap - a service aimed at both fee-for-service and commission-based advisers, and those transitioning to a fee structure.

Arthur Naoumidis, group chief executive of Praemium, said the firm's current client list of 200 planning firms consist of fee-based planners.

However, with the planning environment likely to change from a commission to fee-based services over the next two years, Naoumidis stressed it was a "market that we want to play in strongly".

Enter SMARTwrap - Praemium's latest offering with a factory gate price of 32 bps, a PDS price of 82 bps, and a 50 bps rebate for the client when an adviser moves from commission to a fee-for-service arrangement.

"[We thought] to create a transition service to enable financial planners to move from the rebate world to the fee-based world - but to do that we need to support their current business model," he said at a media briefing yesterday.

SMARTwrap, which will be rolled out next month, will use Praemium's V-Wrap platform that already administers over $40 billion in funds under advice.

The new wrap allows investors to access 650 wholesale managed funds, direct equities trading, separately managed accounts, among others.

It is designed to cater for an estimated 80 per cent of advisers, who are currently using other wrap platforms to access wholesale managed funds.

"With so many advisers facing the difficult move away from commissions while also being challenged by clients on the cost of investing in an environment of unpredictable returns, SMARTwrap will meet advisers' demand for a more efficient platform to transition them and their clients into the new regime," said Naoumidis.

Praemium is one of many medium software providers such as IRESS, Onevue and HUB24, that help enable financial advisers to adjust their remuneration structures based on pending regulatory reforms.