Recent research by Roy Morgan Research found that industry funds are only slightly ahead of retail funds in terms of financial performance satisfaction, with a rating of 59.6 per cent compared to 58.9 per cent.
Roy Morgan Research industry communications director Norman Morris said: “Of particular significance is the fact that industry funds have now only got a narrow lead in satisfaction over their retail rivals to the point where their strong market positioning on this has been largely dissipated.”
The report found that retail funds now lead industry funds with high-value customers.
In terms of satisfaction within the high-value market, retail funds score 81.1 per cent compared to 77.6 per cent for industry funds. Self-managed super funds now have a satisfaction rating of 85.8 per cent.
“It is important to note that both groups face potential losses to self-managed funds from their higher value members if satisfaction levels decline,” said Mr Morris.
Moreover, the research indicated that people who have $250,000 or more in superannuation account for just over half of all funds, but represent only 14.3 per cent of total customers.
Roy Morgan Research said this group should be targeted by super funds in order to achieve the highest levels of satisfaction.
For those with less than $5,000 in superannuation, retail funds record higher satisfaction levels at around 48.9 per cent compared to 44.4 per cent for industry funds.
Roy Morgan indicated that satisfaction for both industry and retail funds increase in line with balances held.
