National Australia Bank and ANZ have suffered the biggest losses from members switching among the large retail superannuation fund providers.
A survey by research firm Roy Morgan found that of all super products switched between managers in the year to June 2013, NAB lost a net 3.1 per cent of products, while ANZ lost 2 per cent.
Among the large retail funds, Commonwealth Bank was the biggest winner, attracting a net 3.1 per cent of products. Westpac won 1.7 per cent of retirement products switched from rival funds.
Super fund members have been able to select the manager of their retirement savings since July 2005, prompting many to choose the fund that best suits their needs.
NAB said it had attractive products and was working hard to meet clients’ needs.
The losses suffered by the two banks come despite findings by Roy Morgan that AMP, the listed wealth manager, had the most dissatisfied customers. The percentage of AMP super customers who were satisfied with their fund’s performance fell to 36.8 per cent in 2012-13 from 42.1 per cent the previous year. The satisfaction rating compares with 47.8 per cent of CBA customers who were happy with the performance of their fund, and 49.6 per cent of members of industry funds as a whole who said they were satisfied with their scheme’s performance.
AMP experienced only a 0.5 per cent net loss of super products that were switched in 2012-13.
There was a stronger correlation between satisfaction of self-managed fund members and switching activity, suggesting the do-it-yourself sector is on course to maintain its fast growth pace.
Roy Morgan found that 71.7 per cent of self-managed super scheme trustees were satisfied with the performance of their fund, up from 67.2 per cent the year before.
Last year, DIY schemes attracted a net 9 per cent of all super products that were switched, making them by far the biggest beneficiary of the switching regime.
This story Administrator ready to work first appeared on Xiamen Sauna Net.