Master trusts in decline

Australia’s total master fund market, made up of platforms, wraps and mater trusts, managed to end the year in positive growth territory, largely because of a strong September quarter, according to the latest data from actuarial research house Plan for Life.

The Plan for Life data, released this week, revealed that the total master fund market grew by 2.6 per cent over the year to September 30 to stand at $396 billion, with a large jump of $44.8 billion being recorded in the September quarter.

However, Plan for Life noted that the inflows of $85.4 billion were well down on those of the same time last year, while outflows of $71.4 billion were also down over the same 12-month period a year earlier.

The Plan for Life data revealed that platforms comprised 52.2 per cent of the market with $207.1 billion in funds under management (FUM), while wraps accounted for 30.8 per cent of the market with $122.3 billion in FUM.

However, master trusts represented a declining presence, accounting for just 17 per cent of the market and attracting only 14.6 per cent of total inflows over the year.