POWERED BY MOMENTUM MEDIA
Default funds must be fixed, says FSC
The status of default superannuation funds under modern awards must be referred to the Productivity Commission immediately, according to the Financial Services Council (FSC) and the Federal Opposition.
Chief executive of the FSC, John Brogden, made clear in an address to his organisation's national conference on the Gold Coast, that delaying reference of the issue to the Productivity Commission until 2012 was unacceptable in the context of the "commoditisation" of default superannuation via the Government's MySuper legislation.
He said the FSC was strongly of the view that there needed to be competition in the default fund market and that the current process was "totally unacceptable" and "riddled with conflicts of interest".
Brogden said referring the matter to the Productivity Commission in 2012 would be too late, and added the FSC was formally calling on the Government to issue the terms of reference for a Productivity Commission inquiry now.
The Opposition spokesman on Financial Services, Senator Mathias Cormann, also told the FSC the Government needed to move to have the Productivity Commission deal with the issue immediately.
In doing so, Cormann said he believed the Assistant Treasurer and Minister for Financial Services, Bill Shorten, was deliberately delaying the reference to provide an advantage to his political supporters in the industry superannuation fund movement.
AUTHOR
Mike Taylor
Recommended for you
The fund has appointed Fotine Kotsilas as its new chief risk officer, continuing a series of executive changes aimed at driving growth, but NGS Super’s CEO has assured the fund won’t pursue growth for growth’s sake.
AMP Super has taken a strategic stake in Atmos Renewables, funding major battery and wind farm projects to boost Australia’s clean energy transition.
The regulator has commenced a targeted review to address regulatory hurdles that may be discouraging superannuation funds from investing in property assets.
Rest’s FUM growth coincides with the arrival of Michael Clancy as the fund’s new CIO and the appointment of two senior executives.
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(%)
