The Financial Services Council (FSC) has welcomed the Senate’s passage of superannuation bills which will reduce fees charged on low balance MySuper accounts and will ban exit fees and consolidate inactive accounts.
At the same time, the Council said it remained concerned about for insurance in super because of the retrospective nature of this bill and the compressed timeframes for communications to members about the changes.
FSC’s chief executive, Sally Loane, said that the superannuation reform needed to be continued, in particular in the area of decoupling of default superannuation with the industrial relations systems.
“We are happy to see the member outcomes 1 legislation finally progress to the Lower House but we are very concerned late amendments to the bill will potentially lead more politicization of super, in that the minister of the day will have more power than the regulator, APRA, in determining how fund performance is assessed,” she said.
“Australian must retain the right to choose a superannuation fund that best meets their needs, without political overlays. A rushed, poorly criticised approach to superannuation will not serve consumers well and it doesn’t strengthen our world class system.”
The bills included:
BlackRock boss Larry Fink praised Australia’s superannuation system in his annual chairman’s letter.
The prudential regulator has announced it will publish new expenditure data of superannuation funds, providing details on expenses like advice, director remuneration, and payments to unions.
Affirming the UK’s growing attractiveness as an investment destination, a number of Australia’s largest investors recently joined the UK Foreign Secretary for an exclusive briefing in Canberra to discuss further opportunities for trade and growth.
The specialist superannuation law advisory practice is set to wind up, with managing partner Jonathan Steffanoni planning to bring a new offering to market.
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