Industry funds could invest in NSW poles and wires
Just because particular unions may oppose the sale of public assets should not preclude industry funds from investing in those assets if the numbers add up, according to former Federal Labor minister, Nick Sherry.
Speaking during a panel session at the Conference of Major Super Funds (CMSF), Sherry backed a call by industry funds stalwart, Garry Weaven for super funds to be active in social infrastructure investment, including in residential housing stock.
Sherry said that union officials who sat on the boards of superannuation funds needed to leave their union hats at the door wye it came to making investment decisions and that included investments in projects which had been opposed by unions.
Weaven said that while he believed the purpose of the superannuation system was to provide for peoples' retirements, it's scale was now such that the superannuation industry had a responsibility to address some of the major issues which had been the subject of recent superannuation policy debate, including residential housing affordability.
Further he said that the sole purpose test did not need to be seen as an inhibitor in circumstances where it was possible to generate a reasonable investment return.
"And if we don't do something about addressing housing then it becomes a major issue," Weaven said.
Sherry said it had always been open to make investment decisions reflecting the views of their members and this should continue to be the case.
Recommended for you
Cbus CEO Kristian Fok has criticised lead generators promoting superannuation switches, with the Shield and First Guardian problems being the “tip of the iceberg” for super members.
A global report from Mercer shows that pension systems with no or limited restrictions tend to perform better, while sharing recommendations on how Australia can improve its ranking.
Australian super funds have extended their winning streak into September, as strong global equities and resilient long-term returns boost member outcomes.
The super fund has appointed long-serving technology leader Richard Exton to its executive team, underscoring the fund’s digital transformation priorities.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
215.17 3 y p.a(%)
2
Loftus Peak Global Disruption Fund Hedged
118.15 3 y p.a(%)
3
Global X 21Shares Bitcoin ETF
75.00 3 y p.a(%)
4
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
61.11 3 y p.a(%)
5
Global X Ultra Long Nasdaq 100 Complex ETF
60.93 3 y p.a(%)
