POWERED BY MOMENTUM MEDIA
Voluntary super contributions up almost 30%
The analysis of close to one million superannuation members has found they are 27% more likely to make voluntary super contributions as the COVID pandemic triggered a greater engagement with super, according to AMP.
The year-on-year comparison showed that members contributed an extra $296 to their super over the three months to September, 2021, which could amount to an additional approximately $75,000 in retirement savings, if maintained.
At the same time, members who withdrew money as a part of the Government’s Early Release of Super (EROS) scheme were 14% more likely to make voluntary contributions to their super than they were pre-COVID.
Following this, those who were working in the retail industry were also restoring their EROS funds faster, the analysis revealed.
The study also found that additional voluntary contribution rates for women were growing 6% faster than men, but despite the increase in voluntary super contributions from EROS, their contribution rates continued to lag the average by 15%.
AMP’s head of technical strategy for superannuation, John Perri, said: “What is pleasing is that following the initial COVID period we have now seen higher-levels of engagement with super and members that participated in EROS seeking to restore their balances.
“It’s also encouraging to see more women making voluntary contributions and taking action with their super, and those working in retail, an industry hit hard by COVID.
“And hopefully, as the circumstances for those who’ve withdrawn super improve, they’ll be more aware of the importance of rebuilding their super and the ways they can do this.”
Recommended for you
The Future Fund’s CIO Ben Samild has announced his resignation, with his deputy to assume the role of interim CIO.
The fund has unveiled reforms to streamline death benefit payments, cut processing times, and reduce complexity.
A ratings firm has placed more prominence on governance in its fund ratings, highlighting that it’s not just about how much money a fund makes today, but whether the people running it are trustworthy, disciplined, and able to deliver for members in the future.
AMP has reached an agreement in principle to settle a landmark class action over fees charged to members of its superannuation funds, with $120 million earmarked for affected members.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
76.97 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
76.46 3 y p.a(%)
3
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
51.13 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
45.15 3 y p.a(%)
5
Select Baker steel Gold Institutional
43.78 3 y p.a(%)
