The Australian Prudential Regulation Authority (APRA) has released the first batch of quarterly MySuper statistics with the Financial Services Council (FSC) stating they show the average MySuper fund of its members have outperformed equivalent offerings from industry funds.
APRA's release of the quarterly MySuper statistics showed there were 93 registered superannuation entity (RSE) licensees offering a total of 116 MySuper products at 30 June 2014, with total assets held in MySuper products at $363.2 billion, or 32 per cent of total RSE assets.
The statistics cover the first six months of the year since MySuper became compulsory from 1 January with FSC claiming its members' funds had averaged net returns of 3.4 per cent compared to an average industry funds return of 3.18 per cent over that time.
FSC said this data had been analysed by an independent actuary but did not state how many funds were compared from its members or the industry funds sector. However FSC said the funds were of comparable size and type and were also major market participants.
FSC director of policy Andrew Bragg said the release of the statistics changed the way superannuation is reported but called for more openness from the industry fund sector.
"For the first time, Australians have APRA data which directly compares the fees and performance of MySuper products. From today, APRA is showing true ‘apple with apple' comparisons," Bragg said.
"Fees can be further reduced if the industry fund-dominated default superannuation market is opened up to competition."
"MySuper has been a game changer for the default superannuation market. Industry funds are now more expensive and offer lower returns than FSC member funds, but maintain a monopoly on default contributions through the Fair Work Commission process," Bragg said.
