DEXX&R research has found that, overall, Australian funds under management and advice (FUM/A) saw little growth in the 12 months to June 2016.
Australian funds under management and advice (FUM/A) saw little growth overall in the year to June 2016, according to research house DEXX&R.
FUM/A held in retail and wholesale managed funds grew by a sluggish 0.2 per cent over the year, climbing to $1.117 trillion from the $1.115 trillion at the end of 2014-15.
The retirement income segment of retail super and investment markets saw the biggest growth, with a 2.1 per cent increase in FUM/A, while employer super was the poorest-performing segment, with a 1.7 per cent decrease, DEXX&R said.
“The stagnation in FUM/A growth across all sectors reflects the impact of low investment returns in the major asset classes and negative returns in some other asset classes.
“Across the major retail segments, multi-sector returns for the 12 months to 30 June 2016 averaged 1 per cent, Australian shares 0.5 per cent and international shares negative 3.0 per cent,” the firm said.
AMP appears to have been the best-performing manager, with a 6.2 per cent rise in FUM/A, but DEXX&R noted that “a significant portion of AMP’s increase” was the result of a reclassification that saw the inclusion of additional FUM/A not reported in the previous quarter.
The Commonwealth Bank saw a 1.9 per cent decline in its FUM/A in the year to June 2016, down to $138.5 billion, although the bank did record increases both in its retirement income and its non-super retail investments.
Comments powered by CComment
The FAAA emerged on Thursday as one of the most vocal critics of the government's QAR response, expressing significant ...
Minister Jones’ announced creation of a new class of advisers has partially overshadowed much sought after changes to ...
The FAAA says that advisers feel the AFCA complaints process is biased in favour of the consumer and they “bear a ...
Never miss the stories that impact the industry.
Get the latest news! Subscribe to the ifa bulletin