Retail super outperforming industry funds
Six months of higher satisfaction for retail funds.
The latest research and analysis shows consumers have been more satisfied with retail superannuation funds than industry funds for the last six consecutive months.
Data released as part of Roy Morgan’s Superannuation Satisfaction Report July 2017 shows satisfaction among retail fund holders (58.7%) was higher than that of industry funds (58.2%).
However, self-managed super funds (SMSFs) maintained their lead as the most popular type of fund (73.8%).
While SMSFs are clearly satisfying customers in the highest value brackets ($700,000+), competition among the three fund types is much tighter in the $250,000-$699,999 segment. Industry funds are the clear winners (72.6%), followed closely by SMSFs (71.8%) and retail funds (68.9%).
Prior to the last half-year, industry funds were more popular than retail funds for more than a decade.
The research shows the higher the balance of the fund, the greater the satisfaction for both retail and SMSFs.
Around three-fifths (59.8%) of fund members have less than $100,000 in total balances, accounting for just over one-tenth (14.7%) of all superannuation funds. Those with $700,000 or more in super account for a very small proportion (3.9%) of members but nearly a quarter (23.8%) of all superannuation funds.
Although retail funds have been performing well lately, on an individual fund level they continue to be surpassed. There were no retail funds among the top five performing funds in July. Qsuper (73.3%) held the highest satisfaction, followed by Cbus (65.7%), Unisuper (64.8%), HESTA (62.3%) and Australian Super (60.5%).
If you're unhappy with your current superannuation situation, compare your options and consider switching to a different industry or retail fund. Alternatively, you may wish to manage your money yourself.