POWERED BY MOMENTUM MEDIA
Super Guarantee would fail without tax preferment
The superannuation guarantee will not survive in the absence of its tax-preferred status, according to one of the men who helped former Treasurer Paul Keating devise Australia's current superannuation regime.
Former Treasury adviser and Federal department head Dr Don Russell told the Super Review Post-Retirement and Ageing Forum today that people were wrong to assume the superannuation guarantee would continue without continued tax concessions.
"No one is going to lock away money for 30 or 40 years in the absence of tax-preferred status," he said.
Russell said it was in these circumstances that the superannuation industry needed to identify the clear benefits of the tax-preferred status of superannuation and then convey that message with one voice.
He suggested that there needed to be an understanding that the Federal Treasury was not comfortable with tax preferment.
"Treasury never saw a tax expenditure it didn't hate," Russell said.
Recommended for you
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.
Morningstar believes there is still further to run with the potential takeover of Insignia Financial even with original bidder Bain Capital walking away.
Insignia Financial has announced the status of the two private equity bidders as due diligence comes to an end.
The future of superannuation policy remains uncertain, with further reforms potentially on the horizon as the Albanese government seeks to curb the use of superannuation as a bequest vehicle.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom 465 Calder Road Calder
99.46 3 y p.a(%)
2
DomaCom DFS Mortgage
95.46 3 y p.a(%)
3
Global X 21Shares Bitcoin ETF
78.55 3 y p.a(%)
4
BetaShares Crypto Innovators ETF
50.39 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
47.50 3 y p.a(%)
