SMSFs outperform industry funds in satisfaction
SMSFs are streets ahead of industry and retail funds when it comes to satisfaction with financial performance, according to Roy Morgan Research.
The Roy Morgan Research Superannuation Satisfaction January 2014 report found SMSFs led the way in January with 73.1 per cent customer satisfaction, followed by industry funds (54.4 per cent) and retail funds (52 per cent).
SMSF financial performance satisfaction increased by 0.9 per cent in the 12 months to January 2014, the report also stated.
“With growing competition between the industry and retail funds for market share and the rapid expansion of the SMSF sector, satisfaction with financial performance is increasingly a factor that fund managers should be taking notice of,” Roy Morgan Research industry communications director Norman Morris said.
“Our research shows that there is a strong correlation between satisfaction with superannuation financial performance and the likelihood of switching funds,” Mr Morris said.
Retail funds made up ground on their industry rivals, increasing in 12 months to January 2014 by 10.1 per cent.
“Overall satisfaction with financial performance of superannuation is at the highest level since December 2008, when satisfaction decreased in light of the global financial crises,” Mr Morris said.
“This renewed optimism in financial performance has been particularly evident in recent times amongst the retail funds which incurred greater losses in the aftermath of the crises.”