BT strongest in poor year for retail managed funds
BT was the least damaged provider across a retail managed funds sector that was battered by market volatility in 2011, with overall funds under management dropping 5.1 per cent to $486.9 billion, according to Plan For Life data.
BT shrunk 2 per cent in 2011 and is still the largest provider by FUM with 19.1 per cent market share or $93.2 billion FUM. The next smallest losses were reported by Mercer (-2.1 per cent), AMP (-3.9 per cent) and Commonwealth/Colonial (-4.7 per cent).
The biggest losses were seen at Perpetual (-11.8 per cent), Macquarie Bank (-7.9 per cent), OnePath (-7.7 per cent) and IOOF (-7.4 per cent). Perpetual and OnePath were the only major providers not to recover ground in the December quarter, down 1.9 per cent and 0.2 per cent respectively.
Total fund inflows of $165.5 billion represented a 2.1 per cent decrease on 2010, with BT seeing about one quarter of all inflows - up from one fifth in 2010.
All retail funds excluding cash trusts actually grew 11.6 per cent for the year, led by Challenger (up 85.6 per cent to $2.2 billion) and BT (up 26.1 per cent to $42.5 billion), while Macquarie (down 27.5 per cent to $5.9 billion) saw significant outflows.
Retirement incomes grew by 1.7 during the year, led by Challenger (19.9 per cent) and Colonial First State (8.1 per cent). Despite a 21.4 per cent drop in inflows, the sector finished 2011 19.3 per cent higher than in 2010.
Cash management trusts began to stabilise in 2011 following dramatic falls in 2009 and 2010, but still shrunk by 10 per cent during the year. Cash trust inflows continued to fall, down 26.1 per cent year on year.
On the wholesale side, the unitised wholesale trust sector shrunk 9.3 per cent in 2011 to $247 billion, with the biggest falls seen at Platinum Asset Management (-21.6 per cent), Perpetual (-20.8 per cent), BlackRock (-18.1 per cent) and AMP (-17.4 per cent).
The only major provider to gain significant ground was Schroders, which grew 13.2 per cent.
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