Managed funds hit $1.4 trillion
Australia’s managed funds industry has reached over $1.4 trillion in funds under management, making it the largest in the Asia Pacific and a major market internationally, according to a government report.
Released by the Department of Innovation, Industry, Science and Research, the ‘Managed Funds in Australia’ report profiled the size, sophistication and characteristics of the Australian managed funds industry.
According to the report, the volume of funds under management has increased three-fold over the past 10 years at a compound rate of 12.3 per cent, while it is estimated that the industry will grow to around $2.5 trillion by 2015.
The growth of the managed funds industry was underpinned by the strong retirement income system.
“Superannuation funds dominate the local industry, with superannuation investments representing approximately 75 per cent of managed funds with around $1.2 trillion in assets.”
AUTHOR
George Liondis
Recommended for you
Sequoia Financial Group has announced it is selling off its Informed Investor subsidiary which it acquired in April 2022.
Wealth Data has examined which advice business model has seen the most growth since the start of the year including those that offer holistic advice.
Research conducted by Elixir Consulting and Lonsec has quantified the efficiency gains of using managed accounts in financial advice practices in hours per week saved.
With only one-quarter of advice practices actively seeking feedback from clients, the Financial Advice Association Australia has emphasised why this is a critical tool for client retention.
