This is one of the key statistics of the latest edition of APRA's Insurance and Superannuation Bulletin to be released by the Chief Executive Officer, Graeme Thompson.

Other statistics in the December quarter Bulletin show that:

• Contributions rose by 13.5% in the December 1998 quarter over the December 1997 quarter, or 18.8% during the 1998 calender year, an increase from $31.2 billion to $37.1 billion for the year.
• Strongest growth again came from member contributions. They increased by 24% over the previous year to $14.4 billion.
• Net contributions (ie. contributions less benefits) totalling $15.2 billion - a rise of $4.4 billion or 40.9% - flowed into superannuation during the 1998 calender year.

According to the Bulletin, self-managed or DIY funds were the fastest growing market segment with assets increasing by 24% during the 1998 calender year. In the same period, industry fund and retail fund assets grew by 21% and 20% respectively.

In comparison, reflecting continuing consolidation and rationalisation in how companies are managing their superannuation, corporate fund assets grew by only 10% during the year, while public sector fund assets grew by 14%.

Remaining at their usual levels, inward transfers accounted for 38% of all money deposited into superannuation during the December quarter.

The accompanying attachment lists the articles contained in the Bulletin. In particular, this edition of the Bulletin contains details of APRA's new organisational structure, aimed to be fully operational by 1 July this year.

Superannuation articles in the Bulletin analyse the Eligible Rollover Fund (or ERF) market, examine the latest available superannuation coverage figures, profile public sector superannuation and present a comprehensive guide to the current Australian retirement income system.

A further article comprehensively describes the functions transferred to the Australian Securities and Investments Commission (ASIC) from the Insurance and Superannuation Commission (ISC).

This will be the final edition of the APRA Insurance and Superannuation Bulletin in its current form. From next issue it will be expanded to reflect the supervision of all aspects of APRA's prudential regulation function.

Other attachments to this statement include the Superannuation survey highlights  December 1998, which provides additional information on the manner of investment and asset allocation of superannuation; while Superannuation industry at a glance provides a snapshot of the current structure of the superannuation industry.

Please note that this media release and accompanying attachments are also available from the APRA web site, www.apra.gov.au.

Further information :

Tony Nichols
(02) 6213 5378
Insurance & Superannuation Research Unit
APRA