POWERED BY MOMENTUM MEDIA
First State Super and VicSuper officially merge
First State Super and VicSuper have completed their merger to create a fund managing over $120 billion for 1.1 million members.
In an announcement First State Super chief executive, Deanne Stewart, said the merged fund would have scale to drive down its administration and investments costs and that the savings would be passed onto members.
Also commenting, VicSuper’s former chief executive, Michael Dundon said: “Our merger with First State Super is already delivering great outcomes for VicSuper members with a 20% reduction in fees for accumulation members within the first year.
“While VicSuper has been a high-performing fund, our board knew that accessing scale through a merger would be key to driving value for our members into the future.”
Dundon would now join First State Super as a member of the executive team where he would be responsible for overseeing the integration of VicSuper and support other future merger opportunities.
The fund’s trustee board’s independent chair, Neil Cochrane, said the board had welcomed four VicSuper directors. These were Gabrielle Bell, Partricia Faulkner, Antoinette Masiero, and Travis Bates.
Sue Carter and Rod Harty had stepped down from the First State Super Board though Harty remained a member of the member services committee.
The announcement noted that while fund operations, investments and employees were not part of one merged entity, the VicSuper brand would remain in market.
Recommended for you
The two funds have announced the signing of a non-binding MOU to explore a potential merger.
The board must shift its focus from managing inflation to stimulating the economy with the trimmed mean inflation figure edging closer to the 2.5 per cent target, economists have said.
ASIC chair Joe Longo says superannuation trustees must do more to protect members from misconduct and high-risk schemes.
Super fund mergers are rising, but poor planning during successor fund transfers has left members and employers exposed to serious risks.
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
44.24 3 y p.a(%)
4
Pengana High Conviction Equities B
40.36 3 y p.a(%)
5
Pengana High Conviction Equities A
40.34 3 y p.a(%)
