Superannuation assets totalled $2.02 trillion at the end of the June 2015 quarter, slightly down from the previous quarter which reached an all-time record for the system. Over the 12 months to June 2015, there was a 9.9 per cent increase in total superannuation assets.
Total assets in MySuper products were $428 billion at the end of the June 2015 quarter, up by 18.2 per cent from a year earlier.
Detailed MySuper statistics, including asset allocation benchmarks and information on product fees by specific MySuper offering, are available from: http://www.apra.gov.au/Super/Publications/Pages/Quarterly-MySuper-statistics.aspx
Accrued default amounts were $60.9 billion, down from $67.4 billion in the previous quarter and from $73.1 billion a year earlier. After staying steady for a number of quarters there has been a pattern of reductions in this figure. APRA does not indicate in which funds the accrued default amounts are present.
Contributions to funds with more than four members over the June 2015 quarter were $30.2 billion, up substantially from $23.8 billion in the March 2015 quarter. The June quarter typically receives higher than average contributions as individuals make voluntary contributions prior to the end of the tax year. Total contributions for the year ending June 2015 were $103.9 billion.
This increase in contributions is slightly above wages and employment growth, with the increase in the Superannuation Guarantee (SG) playing a part. Most employer contributions are now SG or for defined benefit with salary sacrifice only a small proportion of total employer contributions (9 per cent).
The APRA-regulated sector average for investment returns was a healthy 8.9 per cent over the year to the June quarter, on top of an 11.7 per cent average rate of return in the previous financial year. However, the average rate of return in the June quarter was -1.7 per cent, reflecting developments in equity markets in the quarter.
Outward benefit transfers exceeded inward benefit transfers by $719 million in the June 2015 quarter. The outflow to self-managed superannuation funds (SMSFs) was $1,613 million in the quarter, down from $1,950 million in the previous quarter. However, this is not large compared to the size of the SMSF sector and is not really driving growth of that sector. Rollovers from retail funds to SMSFs were $875 million with rollovers from industry funds to SMSFs $498 million.
There were $16.8 billion in total benefit payments in the June 2015 quarter. Total benefit payments for the year ending June 2015 were $61.0 billion. For these APRA-regulated funds, in the June quarter pension payments exceeded lump sums for the first time recorded.
Aggregate insurance premiums were up 22 per cent in 2014/2015 compared to the previous year. While an increase in the number of individuals covered would have contributed to this, there also were substantial increases in the rate of premiums for death and disability insurance cover.
There were no real changes in the number of APRA funds during the June quarter. Fund merger activity appears to be in abeyance for the time being in terms of completed mergers.