KiwiSaver funds under management (FUM) broke through the $38 billion level in the December quarter, fueled entirely by member contributions, according to the latest data from Australian research house Strategic Insight (SI).
The SI KiwiSaver December quarter SI report shows total FUM was up 2 per cent over the period growing to $38.4 billion from about $37.7 billion as at September 30 last year.
However, overall investment losses of approximately $130 million during the three-month period pared back the $870 million in net funds flow contributed to KiwiSaver accounts over the same timeframe.
Milford Asset Management recorded the highest proportional FUM gain in the December quarter, putting on 7.1 per cent to close out the period with $737 million under management in its KiwiSaver scheme – the 10th largest in the SI ladder.
As per previous periods, BNZ KiwiSaver again reported strong quarterly growth figures with its 6.4 per cent gain driving the scheme above $1 billion and closing fast on the eighth-biggest provider, Booster ($1.14 billion).
Booster, previously known as Grosvenor, was on a par with the majority of top 10 providers in the quarter, growing 1.4 per cent over the period: six KiwiSaver firms – including the top four group of ANZ, ASB, Westpac and AMP – reported FUM growth of between 1.4-1.7 per cent.
Fisher Funds was the slowest-growing KiwiSaver over the quarter, up 0.6 per cent to finish the year on $3.35 billion under management across its two schemes.
Interestingly, the SI ‘others’ category – providers outside the top 10 – grew at a higher rate during the quarter than the larger players (average 2 per cent). The 20-odd ‘other’ schemes were up 3 per cent in the December quarter, sharing just over $2.7 billions between them.
Last week one of the others, the passive-investing Simplicity scheme backed by former Tower Investments and Hanover Group chief, Sam Stubbs, announced it would crack the $100 million mark this week with more than 4,000 members signed up.
In a note to members, Stubbs said Simplicity would hit the $100 million benchmark 18 months ahead of schedule.
Simplicity will celebrate the occasion with free drinks for members at the Northern Steamship at Britomart this Friday from 2-7pm.