Overall Australian funds under management and advice (FUM/A) saw little growth in the year to June 2016, according to research house DEXX&R.
FUM/A held in retail and wholesale managed funds grew a sluggish 0.2 per cent throughout the year, climbing to $1.117 trillion from the $1.115 trillion at the end of the year to June 2015.
The retirement income segment of retail super and investment markets saw the biggest growth, with a 2.1 per cent increase in FUM/A, while employer super the poorest-performing segment, with a 1.7 per cent decrease, DEXX&R said.
“The stagnation in FUM/A growth across all sectors reflects the impact of low investment returns in the major asset classes and negative returns in some other asset classes.
“Across the major retail segments, multi-sector returns for the 12 months to 30 June 2016 averaged 1 per cent, Australian shares 0.5 per cent and international shares negative 3.0 per cent,” the company said.
AMP appeared to be the best-performing manager, with a 6.2 per cent rise in FUM/A, but DEXX&R noted that “a significant portion of AMP’s increase” was the result of a reclassification that saw the inclusion of additional FUM/A not reported in the previous quarter.
The Commonwealth Bank saw a 1.9 per cent decline in its FUM/A in the year to June 2016, down to $138.5 billion, though the bank did record increases in both its retirement income and non-super retail investments.
Moody’s Investors Service has downgraded its ratings for AMP Group and its banking arm, citing dampened operating results, reputational da...
The cuts to dividends in the reporting season as 70 per cent of ASX-listed companies shrunk or axed their payouts have shown that generating...