The Australian Prudential Regulation Authority (APRA) today released Super Trends for the December quarter 2003, which showed an increase of total superannuation assets over the quarter of 3.3 per cent. Superannuation assets now stand at $565.9 billion.

Superannuation contributions rose by 1.7 per cent over the quarter to $14.8 billion, with employers contributing $9.3 billion and members contributing $5.5 billion.  Lump sum payments decreased by 12.5 per cent and pension payments increased by 7.3 per cent, leading to an overall decrease in benefit payments of 7.9 per cent over the quarter.

All fund types showed an increase in assets over the quarter. Small funds again experienced the highest growth with an increase of 8.1 per cent; small fund assets (funds with fewer than five members) now stand at $127.5 billion.  Industry funds grew by 6.6 per cent, public sector funds by 4.3 per cent, retail funds by 4.2 per cent and corporate funds by 1.4 per cent.  Retail funds continue to hold the largest share of superannuation assets at 34.0 per cent of the total.

For investment classes, assets in cash and deposits showed the largest rate of increase, growing by 6.2 per cent over the quarter. These were followed by equities and units in trusts, which increased by 5.2 per cent.

Assets invested directly grew by 6.4 per cent over the December 2003 quarter. Assets invested with investment managers and in life office statutory funds increased by 1.9 per cent and 1.3 per cent, respectively.

Superannuation Trends is a quarterly publication based on APRA’s Quarterly Survey of Superannuation and estimates of other industry components.  The survey is a joint initiative of APRA and the Australian Bureau of Statistics (ABS) and currently reviews information sourced from 356 superannuation funds in Australia. These funds are the largest in the industry, the cut‑off point for inclusion being more than $60 million in assets under management.

A copy of the latest edition of Super Trends is available on APRA’s website at:

http://www.apra.gov.au/Statistics/Superannuation-Institutions-Statistics.cfm

The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry.It oversees banks, credit unions, building societies, general insurance and reinsurance companies, life insurance, friendly societies, and most members of the superannuation industry.APRA is funded largely by the industries that it supervises.It was established on 1 July 1998.APRA currently supervises institutions holding approximately $1.7 trillion in assets for 20 million Australian depositors, policyholders and superannuation fund members.