Superannuation boom time continues
Superannuation assets grew 14 per cent in the 1998/99 financial year, with industry and retail fund assets the fastest growing market segments, according to the latest APRA figures.
Superannuation assets grew 14 per cent in the 1998/99 financial year, with industry and retail fund assets the fastest growing market segments, according to the latest APRA figures.
Total superannuation assets stood at $408.6 billion at June 30, according to the re-cently released APRA Insurance and Superannuation Trends report.
Superannuation funds grew 5.4 per cent in the three months to June 30 and 14 per cent for the year to June 30.
Assistant Treasurer Senator Rod Kemp says superannuation assets are at a record high.
"This is a fantastic figure and shows that Australians are demonstrating continued confidence in the superannuation industry," Kemp says.
The Association of Superannuation Funds of Australia chief executive officer Philippa Smith welcomed the new figures.
“The combination of compulsory employer contributions and strong investment re-turns has boosted the retirement savings of Australians to unprecedented levels,” she says.
The report shows that superannuation growth in the quarter was considerably in-creased by one-off exceptional employer contributions by three public sector super funds, totalling about $8.4 billion.
ASFA backed the Governments’ paying of the liability saying the money “is now be-ing invested, rather than growing further as a Government liability”.
The June quarter trends also showed that contributions rose by 101.3 per cent in the June 1999 quarter over the June 1998 quarter, while member contributions increased by 24 per cent over the previous year to $16.1 billion.
Self-managed or do-it-yourself funds, industry funds and retail fund assets were the fastest growing market segments during 1998/99, all growing by 23 per cent. Corpo-rate fund assets grew by only 8.0 per cent during the year, while public sector fund assets grew by 20 per cent.
Table: Superannuation June 30
Fund type Funds under management ($b) market share (%)
Corporate 70 17
Industry 30 7
Public sector 95 22
Retail 111 27
DIY 52 13
Source: APRA
Recommended for you
The financial services technology firm has officially launched its digital advice and education solution for superannuation funds and other industry players.
The ETF provider has flagged a number of developments as it formally enters the superannuation space through a major acquisition.
While all MySuper products successfully passed the latest performance test, trustee-directed products encountered difficulties.
Iress has appointed Insignia Financial’s former general manager of master trust and insurance products as its newest CEO of superannuation, who will take over from Paul Giles.
