APRA awards first retail MySuper licence
Colonial First State (CFS) is the first retail fund to secure a MySuper licence from the Australian Prudential Regulation Authority (APRA).
Last week Super Review reported that APRA senior manager Gordon Walker had said its 19 MySuper approvals included 18 industry funds and one public sector fund, with no retail applications yet approved.
CFS said it received authorisation last Friday and would be able to launch its MySuper product before the end of the year. The move would cut its default investment options from the eight it offers currently to just one – a lifecycle option called FirstChoice Lifestage.
Colonial First State general manager of products and investments Peter Chun said MySuper would enable members to compare funds more easily based on key differentiators such as cost, investment performance and the level of insurance cover.
“When a member joins the fund and they have not selected another investment option, they will be placed in the FirstChoice Lifestage option that matches their date of birth,” Chun said.
Its lifecycle investment option is segmented by members’ ages, with a range of five years.
“As a member gets older the level of investment risk of the option gradually reduces,” Chun said.
“This aims to reduce the impact on their retirement savings in the event of substantial falls in investment markets as members near retirement.”
Industry fund HOSTPLUS has also announced it has received approval to offer its balanced option as its MySuper product from 1 July this year.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
Australia’s largest super funds have deepened private markets exposure, scaled internal investment capability, and balanced liquidity as competition and consolidation intensify.
The ATO has revealed nearly $19 billion in lost and unclaimed super, urging over 7 million Australians to reclaim their savings.
The industry super fund has launched a new digital experience designed to make retirement preparation simpler and more personalised for its members.
A hold in the cash rate during the upcoming November monetary policy meeting appears to now be a certainty off the back of skyrocketing inflation during the September quarter.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
215.17 3 y p.a(%)
2
Loftus Peak Global Disruption Fund Hedged
118.15 3 y p.a(%)
3
Global X 21Shares Bitcoin ETF
75.00 3 y p.a(%)
4
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
61.11 3 y p.a(%)
5
Global X Ultra Long Nasdaq 100 Complex ETF
60.93 3 y p.a(%)
