POWERED BY MOMENTUM MEDIA
AIST critical of Trio levy calculations
The Australian Institute of Superannuation Trustees (AIST) has criticised the calculation of the Trio collapse levy as it does not take into account a fund's member base.
AIST said the vast majority of its members were funding a levy for an investment they were not involved in.
While AIST broadly supported the levy, it noted the cost had now grown to $71 million.
It said based on the minimum and maximum amounts proposed in the exposure draft ($50-$750,000), large funds with funds under management (FUM) of more than $30 billion were paying a proportionately smaller amount of the levy compared to smaller balance funds.
"Based on these proposed rates, the vast majority of Australian Prudential Regulated Authority (APRA)-regulated funds will be paying proportionally similar amounts and the levy is therefore seen as broadly equitable between funds," it said.
AIST did not criticise the rate of the levy but recommended that Treasury review the calculation method for levies to take the member base into account.
It said as funds continued to grow due to mergers, higher inflows and investment performance, calculations that did not recognise a fund's member base would become more inequitable and disconnected from the industry.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
APRA’s latest data has revealed that superannuation funds spent $1.3 billion on advice fees, with the vast majority sent to external financial advisers.
Cbus Super has unveiled Advice Essentials Plus, a new service offering affordable financial advice to both members and their partners.
The fund has launched a new tool to help deliver personalised financial education and digital personal advice to eligible members.
The QAR lead reviewer has told a Senate committee that the government’s demands of super funds conflict with their original purpose.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
61.07 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
59.21 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.56 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.06 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
26.81 3 y p.a(%)
