Consumer satisfaction with the financial performance of superannuation has climbed to its highest point since the global financial crisis according to research conducted by Roy Morgan.
In its survey of more than 30,000 people with superannuation Roy Morgan found that self-managed superannuation fund (SMSF) members were most satisfied with the performance of their fund followed by those in industry funds and retail funds.
Retail funds closed the gap with industry funds in the area of satisfaction with financial performance moving up 8.6 percentage points to 54 per cent compared with industry funds which increased 5.9 percentage points to 56.2 per cent for the 12 months to July 2014.
SMSF financial performance satisfaction remained high and increased 6.0 percentage points to 77.9 per cent across the same period while overall satisfaction was up 6.9 percentage points to 55.7 per cent since July 2013, the highest level since mid 2008.
Retail superannuation saw an increase in the satisfaction of the performance of all the major brands with Roy Morgan stating that BT had shown the largest improvement in the last 12 months increasing 10.3 percentage points to 58.7 per cent.
Roy Morgan Research Industry Communications Director Norman Morris said financial performance satisfaction would play an important part in member retention as competition in the superannuation sector increased.
"With growing competition between the Industry and Retail funds for market share and the rapid expansion of the SMSF sector, satisfaction with financial performance is increasingly a factor that fund managers should be taking notice of. Our research shows that there is a strong correlation between satisfaction with superannuation financial performance and the likelihood of switching funds," Morris said.