The Government’s proposed disclosure requirements for superannuation funds will negatively impact retirement income, according to the Australian Institute of Superannuation Trustees (AIST).
The disclosure regime, set to come into effect on 31 December, would require super funds to disclose the precise value of privately held assets.
AIST chief executive, Eva Scheerlinck, said while the association supported disclosure on a wide-ranging basis, it needed to be done in a way that did not prejudice members’ best financial interests.
“Requiring super funds to disclose the precise value of privately held assets will compromise their ability to effectively implement investment strategies on behalf of members – members’ retirement outcomes will be harmed,” she said.
“Signalling the precise value of unlisted assets will enable other institutional investors, including overseas buyers including sovereign wealth funds and hedge funds to receive an unfair advantage over Australian super funds. This may risk co-investment opportunities and ultimately may jeopardise Australian jobs and returns to Australian super fund members.
“Unbelievably, the Government would be giving overseas investors a leg up at the expense of Australian fund members.”
AIST said if implemented in its current form, the regime would:
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