POWERED BY MOMENTUM MEDIA
ASFA welcomes extension on SuperStream elements
The Association of Superannuation Funds of Australia (ASFA) has welcomed the Government's decision to provide a 12-month extension to the implementation time-frame for some key SuperStream elements but has warned that it may still not be long enough.
ASFA's concerns are contained in a submission to the Australian Taxation Office (ATO) on SuperStream standards, in which it welcomes the 12-month extension to the period during which alternate electronic file formats may be used.
It said the extension until 30 June 2017 recognised both the considerable investment made in the existing electronic file formats and the significant effort required to implement the Standard and integrate new arrangements into existing processes.
However it warned that concerns remained that the transition period end-date of 1 July 2017 might be "too early, particularly given the significant investment which has been made in a process that is fully electronic and which delivers a complete contributions distribution service to employers".
It noted, however, that discussions would continue with the industry on the circumstances under which such services could be converted from a transitional to an enduring contributions arrangement.
The ASFA submission said that it also welcomed the decision of the ATO to be actively involved in the induction of employers to the Standard.
"The implementation of the Standard with respect to contributions is far more complex than with respect to rollover," it said. "The key lessons from the implementation of the Standard with respect to rollovers were the need for a co-ordinated and staged approach to implementation and on-boarding of funds, and the essential role played by the SuperStream transaction network of gateways.
"The direct ATO orchestration of the transition of employers to the new standard during the first six months of the Standard's operation is, we believe, recognition of the complexity of the task confronting both employers and superannuation funds," the ASFA submission said.
Recommended for you
Australian retirees could increase their projected annual incomes between 3 and 51 per cent by incorporating personal and household data into their retirement income strategies, according to new research.
The best interests duty and new class of adviser didn't make the cut for the pre-election DBFO draft bill; however, ASFA has used its submission to outline what it wants to see from the final package.
The peak body stressed that the proposed financial advice reforms should “pass as soon as possible” and has thrown its weight behind super funds providing a greater level of advice.
Economists from the big four banks have all predicted the RBA to deliver another rate cut during its July meeting; however, some admit the decision will be a close call.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
88.01 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
72.60 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
44.46 3 y p.a(%)
4
Pengana High Conviction Equities B
39.12 3 y p.a(%)
5
Pengana High Conviction Equities A
39.05 3 y p.a(%)
