Big changes for SMSF balances

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Self funded super fund trustees are still feeling very happy with their choice of retirement savings vehicle, according to the latest survey of satisfaction among super fund members by Roy Morgan Research. But with other figures showing that more than half SMSF assets are now supporting pension payouts, the question for the future may be how long some SMSF trustees will remain this happy.

So happy

In the latest half year to May, SMSFs’ satisfaction rating (based on financial performance) increased to 75.6% from 72.4% a year ago. This was in line with the trend: in a year when a booming stock market lifted most portfolios, the survey found a proportionately larger gain for both retail funds (up from 44.6% to 53.7%) and industry funds (up from 49.4% to 55.8%).

It seems the healthy rise in 2013-14 account balances is the main reason for everyone feeling so satisfied. There’s the “wealth effect” from rising savings and, says Morgan’s industry communications director Norman Morris, as a consequence there’s also a rise in the level of members’ engagement.

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