The growing popularity of Self Managed Super Funds is causing angst among the big superannuation funds.
Currently about 30% of the funds in Superannuation is now under the control of self managed super funds. As there is currently about $1.3 trillion in Australian super funds, 30% of this is a very large sum. Considering that self managed super funds are a relatively new development, this represents a massive flow of funds away from the traditional, large super funds.
To add further to the woes of the Superannuation Industry, the federal government plans to introduce a new low cost superannuation fund, called My Super, which will attract a lot of money which would have otherwise gone into existing super funds.