Self managed super fund (SMSF) growth may have been impressive in recent years, but it has not been at the expense of growth within other superannuation sectors, according to Andrea Slattery, CEO of the Self Managed Super Funds Professionals Association of Australia (SPAA).
"Australia’s superannuation market is growing exponentially," she said. "Funds under management are now at $1.3 trillion or thereabouts, where they were $350 billion eight to 10 years ago."
"So the percentage that people have of that pie is changing, but every single sector is experiencing growth."
Slattery said that when SPAA had come into being around eight years ago, SMSFs had represented about 15 per cent of the super industry funds under management, industry funds had an approximate market share of 8 per cent and retail funds accounted for roughly 48 per cent of the market.
"Those figures are now 32 per cent, 18 per cent and 28 per cent respectively," Slattery continued. "But even in the case of retail funds, 28 per cent of $1.3 trillion is still a great deal more than 48 per cent of $350 billion.
"So what we’re talking about here is everybody having a clear opportunity for future growth," she added.
For Slattery, the industry’s focus has to be providing the Australian consumer with the opportunity to meet their retirement needs, irrespective of which vehicle was being used.
"But nobody really looks at it that way," she said. "They look at who’s got their piece of the pie when, in actual fact, we should be all working together because thanks to compulsion, everybody’s going to benefit."
