Australian superannuation funds have recorded their best performance in seven years as the total worth of the nation’s superannuation pool grew to $1.62 trillion.

The industry-wide rate of return for superannuation funds in the year to June 30, 2013, was 13.7 per cent – the best result since 2007, before the global financial crisis and well ahead of the 10-year average of six per cent.

Industry superannuation funds recorded the largest increase in asset value last financial year, growing by 21.5 per cent to $316.2 billion, the latest figures from the regulator, the Australian Prudential Regulation Authority (APRA) show.

Small funds, including self-managed superannuation funds (SMSFs) lifted 15.5 per cent to be worth a total of $506 billion.

Retail superannuation funds grew assets by 13.9 per cent to a total $421.7 billion.

Industry funds also showed the strongest rate of return for members, recording 14.4 per cent for 2012/13, followed by public sector funds on 14.2 per cent, retail funds on 13.1 per cent and corporate funds on 12.3 per cent.

SMSFs now account for 31 per cent of Australia’s superannuation assets – the largest portion of any sector.