POWERED BY MOMENTUM MEDIA
Strong rise in contributions fails to stem super asset decline
Market performance has led the balance of superannuation assets to decline by 3.2% despite seeing contributions of $150 billion.
According to quarterly data from the Australian Prudential Regulation Authority (APRA) in the 12 months to 30 September, 2022, the total super balance declined from $3.43 trillion to $3.32 trillion.
This compared to a decline of 0.5% in the 12 months to 30 June.
The decline in MySuper assets was larger at 3.8%, declining from $922 billion to $887 billion, while those in self-managed super funds (SMSF) declined by 2.8% from $890 billion to $865 billion.
APRA said: “This was predominantly driven by rising global interest rates, pressures from disrupted supply chains and downward revision of global growth outlook”.
Contributions increased by 12% from $134 billion to $150 billion thanks to growth in employer and personal member contributions and strong labour force figures.
The increase in the Superannuation Guarantee from 10% to 10.5% in July saw employer contributions increase 10.4% to $111 billion.
Personal member contributions increased by 17% to $36.6 billion.
Pension payments totalled $40.5 billion over the year, an increase of 2.9%, which APRA said was in-line with long term trends.
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
The lower outlook for inflation has set the stage for another two rate cuts over the first half of 2026, according to Westpac.
With private asset valuations emerging as a key concern for both regulators and the broader market, Apollo Global Management has called on the corporate regulator to issue clear principles on valuation practices, including guidance on the disclosures it expects from market participants.
Institutional asset owners are largely rethinking their exposure to the US, with private markets increasingly being viewed as a strategic investment allocation, new research has shown.
Australia’s corporate regulator has been told it must quickly modernise its oversight of private markets, after being caught off guard by the complexity, size, and opacity of the asset class now dominating institutional portfolios.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
92.15 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
53.24 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
43.15 3 y p.a(%)
4
DomaCom Shoreline North Coogee
36.26 3 y p.a(%)
5
GAM LSA Private Shares AU I
35.87 3 y p.a(%)
