Master trusts in decline
Australia's total master fund market, made up of platforms, wraps and mater trusts, managed to end the year in positive growth territory, largely because of a strong September quarter, according to the latest data from actuarial research house Plan for Life.
The Plan for Life data, released this week, revealed that the total master fund market grew by 2.6 per cent over the year to September 30 to stand at $396 billion, with a large jump of $44.8 billion being recorded in the September quarter.
However, Plan for Life noted that inflows of $85.4 billion were well down on those of the same time last year, while outflows of $71.4 billion were also down over the same 12-month period a year earlier.
The Plan for Life data revealed that platforms comprise 52.2 per cent of the market with $207.1 billion in funds under management (FUM), while wraps account for 30.8 per cent of the market with $122.3 billion in FUM.
However, master trusts represent a declining presence, accounting for just 17 per cent of the market and attracting only 14.6 per cent of total inflows over the year.
AUTHOR
Mike Taylor
Recommended for you
A Supreme Court of Western Australia jury has issued its verdict regarding unregistered MIS operator Chris Marco, who was on trial for 43 fraud charges, with ASIC stating the verdict ends a “sorry chapter”.
ASIC has released the results of the latest adviser exam, with August’s pass mark improving on the sitting from a year ago.
Financial advice practices may be hiring younger or professional year advisers as a succession option, but they may find they are unable to put up the capital if the adviser looks to retire.
Any changes to product labelling for sustainable funds must be applied consistently across investor channels, including those used by financial advisers, according to RIAA.
