Master Trust grows despite net outflows in September quarter

Insignia Financial’s Master Trust portfolio has expanded despite net outflows, as positive markets and new product initiatives drive growth.

Insignia Financial has reported solid Master Trust performance in the September quarter, with funds under administration rising to $138.8 billion, up $3.6 billion or 2.7 per cent.

The uplift has been driven primarily by positive market movements of $4.8 billion, offsetting $785 million in net outflows and $351 million in pension payments.

CEO Scott Hartley said the Master Trust business remains central to Insignia’s 2030 Vision & Strategy, with improved member retention and stronger performance across key channels.

“The strategic priorities we’ve delivered throughout this quarter position us well for continued, sustainable growth throughout FY26, and bring us closer to our vision to be Australia’s leading and most efficient diversified wealth management company by 2030,” Hartley said.

The Workplace channel attracted net inflows of $52 million during the quarter, while the Direct channel recorded $45 million in net inflows.

Net outflows reflected increased internal transfers, including $163 million moving into Wrap, though the advised channel showed a modest improvement in retention compared to the same period last year.

Total group funds under management and administration increased by $10.2 billion or 3.1 per cent to $340.5 billion, underpinned by $1.0 billion in total net inflows and strong equity markets.

Across the group, Wrap funds under administration climbed 4.1 per cent to $107.1 billion, while asset management funds rose 2.5 per cent to $94.6 billion.

The Wrap segment delivered $1.3 billion in net inflows, led by the MLC Expand platform, which recorded a 300 per cent increase in flows compared to the same quarter last year.

In August, Insignia launched MLC Retirement Boost and the Expand Essential+ investment menu to enhance its retirement and low-cost investment offerings.

The firm also relaunched the MLC brand with a national campaign, “A Lifetime in the Making” and rolled out a new direct-to-consumer platform for MLC Super.

In early October, the company completed the migration of MLC Wealth custody services from NAB Asset Servicing to BNP Paribas, a move involving 473 investment funds and superannuation portfolios worth $150 billion.

Hartley said these developments support Insignia’s broader transformation program. “During the quarter, we made significant progress on a number of key deliverables from our 2030 Vision & Strategy, particularly in our Master Trust and Wrap businesses,” he said.

Insignia continues to progress its proposed scheme of arrangement with CC Capital Partners, with regulatory approvals expected to be finalised ahead of a shareholder vote in the first half of 2026.