Nikko Asset Management NZ experienced the largest proportional growth in retail funds during the 12 months to March 31 this year, according to Australian actuarial and research house, Plan for Life.
The Plan for Life figures, released last week, show Nikko grew its retail funds under management (FUM) by almost 152 per cent over the 12-month period – albeit off a low base. As at March 31 this year, Nikko reported retail FUM of $554 million, compared to $220 million 12 months previously as its market share jumped from 0.4 per cent to 0.9 per cent.
The Kiwibank-owned Kiwi Wealth and Milford Asset Management also recorded high annual retail FUM growth rates of 62.3 per cent and 47.2 per cent respectively.
With the exception of AMP, which saw retail FUM decline by 2.4 per cent, all 10 managers captured in the Plan for Life retail survey reported double-digit growth over the year.
AMP’s retail FUM dropped from over $6.8 billion in March 2014 to just under $6.7 billion a year later, with its market share falling from 11 per cent to 10.7 per cent.
Devon Funds Management saw the largest percentage annual inflow growth, the Plan for Life report says, with retail flows up 500 per cent – again “off a very low base”.
“During the March quarter funds continued to grow up by 5.3% largely on the back of strong performances on underlying investment markets,” Plan for Life says. “However the continued volatile and fluid state of these markets is evident in that by now probably as much as half of this March quarter investment earnings out-performance has already been reversed out.”
ANZ topped the retail market share charts with over $18.7 billion under management, accounting for almost 30 per cent of total FUM. Reporting about $8.7 billion and $7.8 billion (or 13.9 per cent and 12.6 per cent by market share) respectively, ASB and BT/Westpac rounded out the podium spots for retail FUM.
Total NZ retail FUM hit $62.6 billion as at March 31, 2015, up more than 20 per cent compared to the previous year, the Plan for Life research says, with KiwiSaver poised to overtake non-super retail funds as the biggest market sector.
According to Plan for Life, KiwiSaver funds recorded FUM of $28.5 billion, or 45 per cent of total market share, as at March this year, compared to almost $29.4 billion (47 per cent) for non-super unit trusts and funds.
The KiwiSaver sector grew by 33 per cent over the 12 months to March while other retail unit trusts/funds saw growth of 15.8 per cent. Non-KiwiSaver retail super FUM fell by 9.4 per cent over the annual period, hitting $4.3 billion compared to almost $4.8 billion a year prior.