POWERED BY MOMENTUM MEDIA
O’Dwyer warns on super balance erosion
Superannuation funds have been warned to get their houses in order with respect to insurance within superannuation eroding members' balances, particularly younger members.
The Minister for Revenue and Financial Services, Kelly O'Dwyer, said the erosion of member balances was an issue being frequently raised with her by constituents and by fellow Parliamentarians.
She said there were frequent complaints about balances being eroded by premiums that younger members did not even know they were paying for.
O'Dwywr said that for this reason she welcomed the formation of the insurance working group and hoped that it would work effectively to address the problem.
The minister also made clear why the Government had defined the objective of superannuation as being to provide income in retirement to supplement the Age Pension.
She said there was a risk that future governments would continue to tinker with the superannuation settings if the objective of superannuation was left too imprecise such as seeking to pursue adequacy and comfort.
Addressing the Association of Superannuation Funds of Australia (ASFA) conference on the Gold Coast, O'Dwyer sought to explain why the Governmebt had rejected ASFA's call for a higher objective for superannuation particularly around retirement incomes being adequate to achieve a comfortable retirement — something which was reinforced by former ASFA chairman and TAL chief executive, Jim Minto, in an industry oration.
Recommended for you
The corporate watchdog is preparing to publish a progress report on private credit this September, following a comprehensive review of the rapidly expanding market.
The fund has appointed Fotine Kotsilas as its new chief risk officer, continuing a series of executive changes aimed at driving growth, but NGS Super’s CEO has assured the fund won’t pursue growth for growth’s sake.
AMP Super has taken a strategic stake in Atmos Renewables, funding major battery and wind farm projects to boost Australia’s clean energy transition.
The major superannuation fund is facing legal action from ASIC after allegedly failing to inform the regulator about investigations into serious member service issues.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
74.26 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
72.60 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
44.46 3 y p.a(%)
4
Pengana High Conviction Equities B
39.12 3 y p.a(%)
5
Pengana High Conviction Equities A
39.05 3 y p.a(%)
