Super funds dumping nearly $100b in a crisis would slash balances 25pc

The financial regulator has warned that the nation’s biggest superannuation funds could dump almost $100 billion of shares and bonds in a worst-case scenario of acute economic stress to meet demand for account withdrawals and switching requests, which could cut average member balances by one-quarter.

The Australian Prudential Regulation Authority, in a review of the sector, has found the rapid growth of the pension industry and the concentration of power among a few large funds had magnified risk.

Source: https://www.afr.com/companies/financial-services/fewer-bigger-super-funds-creating-new-economic-risks-apra-warns-20260630-p60b88