The Australian Securities and Investments Commission (ASIC) is reminding product issuers that as part of their implementation of Protecting Your Super Package (PYSP), they need to take care that, from 1 July 2019, Product Disclosure Statements (PDSs) do not suggest exit fees will be charged on superannuation products.
Exit fees would be banned under PYSP from 1 July 2019 and would affect superannuation products, so the line needed to be eliminated from the relevant PDSs as well as ensuring no exit charges were charged in practice.
ASIC said it understood the timeline may be difficult for some issuers but encouraged them to make the change as soon as possible.
The regulator said it would be releasing a report on fees and cost disclosure in PDSs in the second half of 2019 following a consultation period earlier this year. It said it would take the changes under PYSP into account when compiling this report.
Vanguard Super has reported strong returns across most of its investment options, attributed to a “low-cost, index-based approach”.
The fund has achieved double-digit returns amid market volatility, reinforcing the value of long-term investment strategies for its members.
Australian super funds notched a third consecutive year of strong returns, with the median balanced option delivering an estimated 10.1 per cent over the 2024-25 financial year, but an economist has warned that the rally may be harder to sustain as key risks gather pace.
AustralianSuper has reported a 9.52 per cent return for its Balanced super option for the 2024–25 financial year, as markets delivered another year of strong performance despite the complex investing environment.