Research shows a drop in FUM across superannuation and wholesale trusts for the third consecutive month.
Funds under management (FUM) across superannuation and wholesale trusts have fallen for the third consecutive month, according to data from research firm, Dexx&R.
The Dexx&R Wholesale Pooled Funds Report found for the 900 funds it covers, total FUM had fallen by 2.5 per cent during July 2008 - from $294.4 billion to $287 billion.
Property FUM dropped 2.6 per cent to $16. 9 billion for the month of July, and fell a substantial 26.6 per cent from $23.1 billion in the 12 months from July 31, 2007.
Many of these property funds are invested in listed property trusts and have decreased significantly due to a rapid fall in the value of companies like Centro, Dexx&R managing director Mark Kachor said.
Australian Shares FUM were down 6.4 per cent to $68.2 billion for the month of July, and international shares FUM declined 1.2 per cent to $88.9 billion.
The multi-sector market bucked the trend with an increase over the past year, despite a decrease of 1.3 per cent since June 30, 2008. Multi-sector FUM were $47,295 million at July 31, 2008, up 2.3 per cent from the same time last year.
"Multi-sector funds have performed better because they are diversified and have less exposure to equity-type investments," Kachor said.
Across the 900 funds monitored by Dexx&R, the net cash flow for the 12 months to July 2008 was $-6.5 billion.
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