POWERED BY MOMENTUM MEDIA
Super funds need to improve document readability
Not one superannuation document from any super fund is easily read, according to research.
A report by writing consultancy, Ethos CRS found not one document came close to reaching its desired benchmark score of 100. The average readability score for 80 documents from 20 companies was 45.6.
CareSuper had the highest readability score at 49.4, followed by Hesta and AustralianSuper both at 49.2, and Cbus Super at 48.4.
Ethos CRS chief executive, Chas Savage, said: “These findings suggest that super funds still have some work to do if they are to engage clearly and effectively with fund members.
“The decision to invest with the right superannuation fund is important. All super funds face the challenge of delivering complex information to a diverse range of members – and levels of financial literacy vary widely. This means that super funds must be clear when discussing the financial services they provide, the performance of funds they manage, and the rights and responsibilities of fund members.
“Given so many Australians are neither advanced readers nor expert financial analysts, one simple step for super funds is to produce clearer, more readable content.”
Recommended for you
A member body representing some prominent wealth managers is concerned super funds’ dominance is sidelining small companies in capital markets.
Earlier this month, several Australian superannuation funds fell victim to credential stuffing attacks, which saw a small number of members lose more than $500,000.
Small- to medium-sized funds have become collateral damage in an "imperfect" model for super industry levies, a financial institution has said.
Big business has joined the chorus of opposition against the proposed Division 296 tax.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
90.28 3 y p.a(%)
2
GAM LSA Private Shares AU I
37.08 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.44 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.12 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
28.28 3 y p.a(%)
