In this guide
- New super fund data confirms largest super funds
- Consultation on the retirement phase of super
- Scaling up access to financial advice
- Reforming the super performance test
- ATO reports increase in authentication scams
- Cost pressures on retirees increase
- ASIC penalises fees for no service
- Charlie Munger dies at 99
New super fund data confirms largest super funds
APRA released it’s annual fund-level statistics for June 2023, showing that AustralianSuper retained it’s position as Australia’s largest funds both in terms of members (3,255,344 members) and total assets ($311bn).
Australian Retirement Trust (formerly Sunsuper and QSuper) was second largest both in terms of members (2,334,304 members) and total assets ($264bn).
The data also offers the first insight into Vanguard Super which launched in November 2022. At the end of June 2023 they had 8,880 members, making them the 70th largest super fund in terms of members, and 79th largest in terms of assets ($623m).
Consultation on the retirement phase of super
The Federal Government has released a discussion paper on the retirement phase of superannuation as it looks at improving retirement outcomes for Australians.
The paper is seeking community and industry views on three key areas:
- Supporting members to navigate the retirement income system
- Supporting funds to deliver better retirement income products and services
- Making lifetime income products more accessible.
“While there is recognition of super’s importance in building nest egg savings, there has been less attention on optimising its role in retirement. There’s a clear need for better information, support and well-rounded income products to help retirees make the most of their super,” treasurer Jim Chalmers and assistant treasurer and minister for financial services Stephen Jones said in a joint statement when releasing the paper.
“We want to ensure super delivers on its foundational promise of providing a dignified retirement for more Australians.”
The government is concerned that most retirees do not have access to appropriate products that can help them maximise their super over their lifetime.
“In fact, 84% of retirement savings are held in account-based or allocated pensions, with only 3.5% held in annuities. Unlike account-based pensions, annuities offer the option of receiving regular payments for life, regardless of how long a person lives,” the joint statement said.
The paper was generally welcomed by industry associations like the Association of Superannuation Funds of Australia (ASFA).
“The take up of retirement income products offering protection against the financial consequences of longevity has been modest to date,” ASFA interim CEO Leeanne Turner said.
“What is needed is the removal of any remaining regulatory barriers to the development of such products."
Submissions are open until 9 February 2024.
