‘For-profit’ culture weighs down super system
The "for-profit" culture enshrined in the banks' business model is weighing down the superannuation system, Industry Super Australia believes.
Pointing to the latest SuperRatings' data, the body's chief executive, David Whiteley said not-for-profit industry super funds continued to outperform for-profit bank-owned funds in the short, medium, and long-term.
"The habitual underperformance by bank-owned super funds is a drag on member returns and national savings, they are letting the Australian public down," Whiteley said.
"The ‘for-profit' culture enshrined in the banks business model is weighing down the super system. This is the same culture that has overseen countless financial scandals and a loss of trust in the banking sector. It is time that government acted and investigates this underperformance."
Whiteley said while banks chased profits at members' expense, industry funds were focused on getting the best super returns by making deep, long-term investments especially infrastructure, which in turn would strengthen the foundations of the economy.
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just goes to prove that the industry super funds are the way to go - run mainly for members benefit instead of greedy banks, retail funds etc