Super assets heading south of $1 trillion
The Australian superannuation industry may no longer be worth more than $1 trillion when the global financial crisis is over, with the latest Australian Prudential Regulation Authority (APRA) data for the 12 months to March revealing that the total value of assets has already slumped by 10.8 per cent to be just over $1.03 trillion.
When the value of Australian superannuation assets topped the $1 trillion mark more than two years’ ago it was regarded as a landmark, but the latest APRA data points to a continuing decline, notwithstanding the fact that returns were in positive territory during March, April and May this year.
Indeed, the only growth area for superannuation assets in the March quarter were self-managed superannuation funds, which recorded an increase of 1.8 per cent, while industry fund assets decreased by 1.4 per cent, retail fund assets by 2.6 per cent, corporate fund assets by 2.9 per cent and public sector fund assets by 3.2 per cent.
The APRA data also suggests that the market downturn has seen fewer people taking advantage of the Government’s co-contributions regime, with 82.5 per cent of contributions during the March quarter being attributable to employers, 16.4 per cent to members and just 1.1 per cent to spouse or co-contributions.
AUTHOR
Mike Taylor
Recommended for you
Results are out for the latest sitting of the ASIC financial advice exam, with the pass rate falling for the second consecutive sitting.
Adviser losses for the end of June have come in 143 per cent higher than the same period last year, and bring the total June loss to over 350.
ASIC’s enforcement action is having an active start to the new financial year, banning a former Queensland financial adviser for 10 years in relation to fees for no service conduct.
ASIC has confirmed the industry funding levy for the 2024–25 financial year, and how much licensees can expect to pay.
