POWERED BY MOMENTUM MEDIA
Trustees warned not to outsource responsibility
Superannuation trustees who outsource their system operations to a provider must ensure that they maintain control of the design of the system, according to the chief executive of Sunsuper, Tony Lally.
Speaking at the Association of Superannuation Funds of Australia conference, Lally said that super trustees needed to maintain control over the design and construction of an operating system, rather than leaving it to a service provider.
"The trustee has to design the system, and the outsourcer must build and deliver it," Lally said.
Different cultures and drivers between super trustees and service providers, as well as multiple client conflicts, could create tension between the two businesses that could outweigh the benefits of outsourcing system operations, he said.
Partner at PricewaterhouseCoopers David Coogan said that trustees would not be able to monitor external administrators on an ongoing basis if they outsourced their operations.
Recommended for you
The two funds have announced the signing of a non-binding MOU to explore a potential merger.
The board must shift its focus from managing inflation to stimulating the economy with the trimmed mean inflation figure edging closer to the 2.5 per cent target, economists have said.
ASIC chair Joe Longo says superannuation trustees must do more to protect members from misconduct and high-risk schemes.
Super fund mergers are rising, but poor planning during successor fund transfers has left members and employers exposed to serious risks.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
88.01 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(%)
