Pete Wargent blogspot

CEO AllenWargent Property Buyers, & WargentAdvisory (institutional). 6 x finance author.

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Monday, 25 May 2015

Super passes $2 trillion

$2 trillion and beyond

APRA released its superannuation data for the March 2015 quarter, which showed total assets sailing past $2 trillion.

This equated to an increase of 14.3 per cent on the March 2014 figure with total assets boosted by both contributions and returns.

Rise of SMSFs continues

The number of self managed super funds (SMSFs) continued to rise over the past year from 525,410 to 550,706, with total self-managed assets under assets continuing to snowball from $539.5 billion to $594.8 billion.

That said, as a share of the $2.09 trillion of total assets, SMSF assets slipped back a notch.

Meanwhile two of the major banks have banned lending to SMSFs for residential property, which may in turn impact that sector of the market.

The annual rate of return for entities with more than four members was a healthy 13.0 per cent, as compared to a give year average rate of return of 8.0 per cent.

Asset splits

Of the $1.35 trillion invested via entities with more than four members, 52 per cent was invested in equities (split as follows: 24 per cent Australian listed equities, 22 per cent international equities, 5 per cent unlisted equities).

Fixed income and cash accounted for 19 per cent, cash 13 per cent, and property and infrastructure 12 per cent of assets respectively.

The remaining 4 per cent was parked in other assets, such as hedge funds and commodities.