Industry Analysis & Industry Trends
The prominence of superannuation (super) in Australia means superannuation funds management is big business. Australia's funds management market is the fourth-largest in the world. Much of this is due to the nation's $1.4 trillion superannuation system, which ensures a steady flow of retirement savings into the market. Investment managers have benefited from this flow. As at September 2012, an estimated 44.3% of the $1.27 trillion in funds under investment managers were in the form of superannuation savings.
In 2012-13, IBISWorld expects the Superannuation Funds Management industry to generate revenue of $10.3 billion from the estimated $579.2 billion in superannuation assets for which they will provide investment services. This represents growth of 2.6%... purchase to read more
Industry Report - Industry Analysis Chapter
Up to 2006-07, the Superannuation Funds Management industry experienced four years of excellent growth. Investment conditions were ideal, with the All Ordinaries index rising steadily to reach its highest historical value of 6873.20 on 1 November 2007. Since reaching its peak however, the financial markets took a huge and long tumble, bottoming out in early March 2009 (dropping 54% from its November 2007 high).
As a significant portion of superannuation assets are invested in both Australian and international equities, net investment income tumbled into the red for the first time in many years. At June 2008, all of the previous year's investment income was wipe out. On an aggregate level, 7.0% of the year's superannuation asset balance was lost... purchase to read more