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Pull forward MySuper transition says AIST
The Federal Government should pull forward the transition to MySuper from its current date of 2017, according to the Australian Institute of Superannuation Trustees (AIST).
The AIST has used its submission responding to the final recommendations of the Financial System Inquiry (FSI) to argue that the pull-forward of the MySuper regime is warranted and that some retail superannuation funds are dragging their feet.
"The transition to MySuper should be brought forward from 2017," the submission said. "Some $395 billion has been transitioned, with some $77 billion yet to be moved across."
It said that while many retail funds had introduced new low fee MySuper products, "they have very little funds under management, with large sums remaining in previous high-fee products".
"The reality is that many retail members are locked out of this low cost environment due to uncompetitive grandfathering arrangements," the submission said.
"AIST contends that the sooner MySuper transitioning is finalised, the more efficient any review of MySuper will be."
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