Funds under management recovered in the June quarter, clawing back some of the losses made in the preceding three-month period when investor sentiment was jolted by COVID-19, data from actuaries and researchers Plan for Life show.

Retail managed funds grew 5.9% to $906.1 billion in the three months to June and wholesale managed funds expanded 4.6% to $1.14 trillion.

Plan for Life says the gains were underpinned by the US markets, which have performed relatively better than the UK and Australia.

“Australian markets are less bullish and it would be fair to say looking forward generally, there is pervading air of uncertainty,” Plan for Life said.

In the wholesale market, institutional funds increased 4.6% to $642.9 billion from the March quarter, investment funds grew 4.7% to $466.1 billion while superannuation and pension funds improved 4.5% to $30.1 billion.

For the retail market, superannuation and rollovers grew 5.5% to $411.2 billion, retirement income went up 4.7% to $190.6 billion but cash trusts fell 40% to $4.2 billion. Unit trusts and investment funds surged 8.4% to $291.4 billion and investment bonds increased 4.2% to $8.7 billion.