Australians seem to be most satisfied with the financial returns of self-managed super funds (SMSF), while retail funds still lag behind, Roy Morgan research showed.
Based on 30,000 interviews with people per annum with super, the 'Superannuation Satisfaction’ report showed satisfaction for SMSFs stood at 75.6 per cent in the six months to May 2014, increasing 3.2 percentage points since May 2013.
Roy Morgan research industry communications director Norman Morris noted the satisfaction rate with SMSFs is related to the level of super balances and the level of engagement that results from that.
“The majority of self-managed funds have balances over $250,000 and when satisfaction is compared to industry and retail fund members with balances over this amount they are still well ahead,” he said.
SMSFs scored 78.3 per cent satisfaction for amounts over $250,000, while industry funds scored 71.4 per cent and retail funds lagged at only 66.4 per cent.
In terms of overall financial satisfaction, retail funds lag behind at 53.7 per cent, but this is up from 44.6 per cent last year.
“The ease of switching super funds and the increase in people using SMSFs mean that the retail sector will increasingly rely on their adviser network and advice to retain customers,” Morris said.
Industry funds stand at 55.8 per cent up from 49.4 per cent last year.
Overall satisfaction with super in the six months to May was 55.1 per cent, up 7.2 percentage points since May 2013.
Among retail funds, ASGARD came out on top with a satisfaction rate of 59.9 per cent, with Colonial First State at 57.3 per cent. BT and MLC tied at 55.9 per cent.
Among industry funds, ESSSuper finished first at 74.4 per cent, while Catholic Super came second at 64.3 per cent.
AustralianSuper scored 57.2 per cent.
