Volatility hits Challenger FUM
The recent market volatility has hit Challenger Financial Services Group, which has reported funds under management down by 14.5 per cent to $16.2 billion for the March quarter.
However, Challenger appears to have been amongst those companies to benefit from a pick-up in retirement product sales flowing from the superannuation and retirement incomes changes introduced by the Federal Government last year.
The big financial services house said funds under advice and administration within its financial planning division had declined by 13.4 per cent over the quarter to $7.8 billion and were down by 2.4 per cent for the 12 months to March 31.
However, it pointed to the fact that within its asset management division assets under management had increased by 15.2 per cent to $10.4 billion.
It said that asset management sales of annuities and associated products had increased by 100 per cent in the March quarter compared to the prior corresponding period to $154 million.
AUTHOR
Mike Taylor
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