APRA figures show = record superannuation contributions for June 2007 quarter

Figures = released=20 today by the Australian Prudential Regulation Authority = (APRA) show=20 contributions to superannuation funds (with at least $50 = million in=20 assets) exceeded $42.2 billion during the June 2007 = quarter.

APRA=92s = Quarterly=20 Superannuation Performance publication shows the industry=20 experienced record member contributions of $22.4 billion = during the=20 quarter, three times higher than the previous record for = member=20 contributions of $7.4 billion in the June 2006 quarter.

Under the = Government=92s =91Better Super=92 reforms, the transitional = tax=20 arrangements for up to $1 million of post-tax contributions = expired=20 on 30 June 2007.

APRA=92s = figures show=20 the June 2007 quarter was also the first quarter in which = total=20 member contributions exceeded employer contributions. = Members=20 contributed $22.4 billion (53.1 per cent) for the June = quarter,=20 employers contributed $18.9 billion (44.8 per cent), and = other=20 contributions, including spouse contributions and government = co-contributions, totalled $890 million (2.1 per cent).

Total = superannuation=20 assets in Australia rose during the quarter by $81.0 = billion, or 7.6=20 per cent, to $1.15 trillion. This represents a 25.1 per cent = increase over the year to June 2007.

Retail = funds received=20 54.7 per cent ($23.1 billion) of total contributions during = the June=20 quarter, industry funds 21.3 per cent ($9.0 billion), public = sector=20 funds 20.9 per cent ($8.8 billion) and corporate funds 3.1 = per cent=20 ($1.3 billion).

Industry = funds showed=20 the strongest growth during the quarter, with assets = increasing by=20 8.4 per cent ($15.4 billion) to $198.1 billion. Retail fund = assets=20 grew by 8.1 per cent ($27.8 billion) to $372.0 billion, = public=20 sector fund assets by 7.1 per cent ($11.8 billion) to $177.5 = billion=20 and corporate fund assets by 3.5 per cent ($2.5 billion) to = $71.9=20 billion during the quarter.

At the = end of June=20 2007, funds with at least $50 million in assets had 29.9 per = cent of=20 superannuation assets ($242.5 billion) invested in wholesale = trusts=20 and 21.4 per cent ($173.5 billion) in life insurance = companies.=20 Individually managed mandates, where asset portfolios are = tailored=20 for or chosen by the trustee, comprised 20.8 per cent = ($168.6=20 billion) of superannuation assets. The remaining assets were = invested in other categories, including pooled = superannuation=20 trusts, unlisted public offer unit trusts and directly = invested=20 assets.

The = combined return=20 on assets was 3.2 per cent for the June quarter. The return = for=20 industry funds was 3.9 per cent, public sector funds 3.1 per = cent,=20 corporate funds 3.0 per cent and retail funds 2.8 per = cent.

The = Quarterly=20 Superannuation Performance publication is available on = APRA's=20 website at www.apra.gov.au/Statistics/Superannuation-Institutions-Stati= stics.cfm

^a=20 For entities with at least = $50 million=20 in assets

Source: = APRA June=20 2007 Quarterly Superannuation = Performance

The = Australian=20 Prudential Regulation Authority (APRA) is the prudential = regulator=20 of the financial services industry. It oversees banks, = credit=20 unions, building societies, general insurance and = reinsurance=20 companies, life insurance, friendly societies, and most = members of=20 the superannuation industry. APRA is funded largely by the=20 industries that it supervises. It was established on 1 July = 1998.=20 APRA currently supervises institutions holding approximately = $2.5=20 trillion in assets for 20 million Australian depositors,=20 policyholders and superannuation fund members.

Media and industry inquiries = only:
Andrew=20 McCutcheon, Public Affairs Manager
Australian = Prudential=20 Regulation Authority
Telephone: 02 9210 3143
Mobile: = 0417 528=20 660

All other inquiries:
APRA Contact = Centre 1300=20 131 060.