POWERED BY MOMENTUM MEDIA
MySuper will accelerate fund consolidation
The introduction of MySuper will lead to an acceleration of the current pace of consolidation of superannuation funds, according to the Association of Superannuation Funds of Australia (ASFA).
In a submission filed as part of the Productivity Commission's review of default funds under modern awards, ASFA said the introduction of Australian Prudential Regulation Authority (APRA) licensing of superannuation fund trustees and entities had already led to a very substantial reduction in the number of superannuation funds, particularly smaller corporate funds.
The submission said there were currently under 300 trustee entities and around 360 different superannuation funds, excluding SMSFs .
It said around 230 of these funds had assets in excess of $50 million, around 110 with more than $1 billion and 35 with more than $5 billion.
The ASFA submission said there had been a marked increase in the proportion of assets and members in funds with over $1 billion in assets, with the supervisory levy and other figures indicating that the top 100 funds accounted for the bulk of the assets in the APRA-supervised sector.
The submission said this would be reinforced by the introduction of MySuper.
Recommended for you
Australia’s second largest super fund has added thermal coal companies to its list of investment exclusions.
The fund has expanded its corporate superannuation solutions to partner with Australian businesses of all sizes.
The chief executive of Aware Super anticipates a significant shift in how ESG factors will influence portfolio values in the next six years, surpassing the changes witnessed in the past two decades.
In a recent statement, shadow assistant minister for home ownership and Liberal senator for NSW, Andrew Bragg, accused ‘big super’ of fabricating data attributed to the Reserve Bank of Australia to push their agenda.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI First Close USD
66.99 3 y p.a(%)
2
Hills International
62.62 3 y p.a(%)
3
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
32.95 3 y p.a(%)
4
Acadian Global Equity Long Short Class A
32.82 3 y p.a(%)
5
CFS FC Acadian Global Equity Long Short
32.44 3 y p.a(%)
Add new comment