Few super funds have met new retirement readiness standards

A new assessment of super fund retirement readiness has found only six funds have met the key criteria for supporting members in retirement.

A new industry framework assessing how well super funds support members approaching retirement has revealed that only six funds meet the required standards, highlighting persistent gaps in retirement readiness across the sector.

The inaugural Epic Retirement Tick assessment, developed by Chant West and the Epic Retirement Institute, found that only Australian Retirement Trust (Super Savings), Aware Super, Brighter Super, Hostplus, TelstraSuper and UniSuper have qualified for the new accreditation.

The initiative measures funds against 18 criteria spanning income products, advice access, digital tools and service quality.

According to Chant West, funds must meet 12 of the 18 criteria points, with the majority of super funds failing to do so.

Ian Fryer, Chant West’s general manager, said the initiative aims to establish a “clear and easy-to-understand” benchmark to assist members in understanding what “good” looks like as they approach retirement.

“Ultimately, we want as many Australians as possible to have access to the advice, products, tools and services that help them maximise their financial security in retirement,” Fryer said.

“We’re working closely with super funds to drive engagement and action to build strong retirement offerings for their members.

“This accreditation aims to create a practical framework for fund members to understand how their super fund can support them as they move towards retirement.”

Bec Wilson, author and founder of the Epic Retirement Institute, said the report gives members a transparent view of how their super fund “stacks up against a robust set of criteria” that represent the realities of retirement in Australia today.

“It also sends a message to the funds themselves, showing them what matters most to their members. That’s really important - everyday Australians approaching retirement need to have a voice at the table, so they’re not invisible in the system that’s meant to serve them,” Wilson said.

“At the time of this inaugural report, just six funds have qualified for the Tick. We need to see more, as Australians headed for retirement deserve better.

“This is actually a huge opportunity for super funds. Funds that step up to deliver true retirement-ready services will not only win trust, they will set a new standard for how Australians experience retirement.”

According to Chant West, the criteria is set to be expanded in following years as the landscape of retirement evolves.