Rice Warner is putting the finishing touches on Part II of its inaugural Super Insights report, and the early findings give a window into the multi-faceted challenges facing Australia’s superannuation sector.
Super Insights derives from extensive data on some 9.1 million accumulation accounts, including retail, industry and public sector funds. Of particular interest in our Part II analysis is the areas of pension and investment data, but also the topic of member exits.
So-called ‘rollout’ statistics, in light of greater fund choice to members, has become a key metric in the retention planning of funds. It also gives a clear sense of the impact of self-directed investors taking greater control of their super.
In fact, the greatest exercise of fund choice has occurred in the last decade with nearly one million members now in their own Self -Managed Super Fund (SMSF). Although the rate of growth has slowed, the roll-outs to SMSFs represent the single largest leakage point for the superannuation industry.
