According to a major report released by financial research provider Rainmaker Information, the number of Australian superannuation funds is contracting at its fastest rate in a decade.
It is estimated that Australia’s 10 biggest superannuation funds will hold an estimated 80% of the market within four years, with a wave of mergers expected to dramatically affect competition.
Rainmaker research and compliance boss Alex Dunnin says regulators and political leaders are continuing to pressure super funds to merge, and this super fund consolidation is further leading to a massive increase in market concentration.