AIST backs not-for-profit governance standards

The Australian Institute of Superannuation Trustees (AIST) has released new research backing its claims around the effectiveness of governance standards within the not-for-profit fund sector.

The research, released by AIST chief executive Fiona Reynolds looked at 67 of Australia's not-for-profit superannuation funds, examined disclosure on fund web sites and in annual reports in 2010 and 2011, and assessed this against AIST's governance framework, released in 2011.

The report found that disclosure standards had improved greatly over the two-year period from 2010-11, with many funds exceeding annual report disclosure obligations, particularly in key areas such as remuneration, director biographies and investment asset classes.

Reynolds said while some funds still had a way to go ahead of the Australian Prudential Regulation Authority's introduction of prudential standards for disclosure next year, it was clear the not-for-profit sector as a whole was well ahead of their 'for-profit' counterparts.

"Though there are currently no legal obligations on funds to disclose this information, it's great to see that some funds are voluntarily moving to full disclosure ahead of a regulator push in this area," she said.