For the first time in recent history ANZ has given up some ground to competitors in the NZ retail funds market, according to new data from Australian research outfit Strategic Insight (SI).
The SI NZ retail funds survey, published last week, shows ANZ market share slipped 0.3 per cent over the September 2016 quarter to close out the period at 29.3 per cent.
Despite the minor dent in a previously unblemished record, ANZ retains a tight grip on the top ranking with its $22.7 billion plus funds under management (FUM) more than double the second-largest manager, ASB ($10.7 billion or 13.8 per cent market share).
Over the 12-month period ANZ still grew market share by an impressive 0.7 per cent – the highest increase recorded by any of the top 10 managers in the SI survey.
ANZ’s quarterly FUM growth of 3.9 per cent was at the lower end of the scale, which ranged from 2.4 per cent for Mercer to 11.4 per cent reported by Milford Asset Management.
However, over the annual period ANZ maintained an above-par increase in retail FUM, the SI figures show.
“Significant double digit percentage increases in funds under management were reported by most companies with Nikko (55.3%), Milford (28.2%), Booster (20.2%), Fisher (19.6%), ANZ (17.7%), Kiwi Wealth (17.0%) and ASB (16.1%) all achieving above average annual growth rates [of 14.9%],” the SI survey says.
Gross retail inflows hit almost $6 billion in the September quarter and over $20 billion for the annual period – the latter representing just a 3.4 per cent increase on the previous year.
“Companies posting higher Inflows year on year included Nikko (57.6%), Fisher (15.9%), BT / Westpac (14.1%), ANZ (10.5%), Kiwi Wealth (9.3%) and BNZ (7.2%),” the SI report says. “By contrast AMP (-36.9%) and Mercer (-31.2%) both reported substantially lower annual Inflows.”
In total, the NZ retail funds market surged almost 15 per cent in net terms to above $77.6 billion over the 12-month stretch, the SI data shows, pumped-up primarily by the almost 23 per cent growth in the government-mandated KiwiSaver sector.
The final pot was boosted, too, by a 9.2 per cent growth in the ex-KiwiSaver/superannuation fund market and “solid investment earnings averaging 7% pa”, the SI report says.