The Australian Prudential Regulation Authority (APRA) today released the results of research into the relationship between fund size and the performance of APRA-regulated superannuation funds. The research, released in the APRA Working Paper Effect of fund size on the performance of Australian superannuation funds, examines three ways that members could possibly benefit from being invested in larger funds: better gross investment returns, lower investment expenses and lower operating expenses. The results of the research indicate that the performance of not-for-profit funds (corporate, industry and public sector funds) improves with fund size. The greatest benefits accrue when not-for-profit funds grow to a multi-billion dollar size. Therefore, there is reason to believe that further growth in fund size and member balances will result in further economies of scale in the not-for-profit sector. However, fund size does not have an overall positive impact on the performance of retail superannuation funds.