Greater transparency urged on super fund adviser fees

18 June 2019
| By Mike |
image
image image
expand image

There needs to be greater transparency on the part of all superannuation funds on how they fund their activities, including the provision of financial advice, according to newly-elected NSW Liberal Senator and former Financial Services Council policy adviser, Andrew Bragg.

Commenting on financial planner concern about the manner in which some industry superannuation funds access administration and investment fees to pay for advice, Bragg said he believed the system had to be made more transparent.

Bragg had been asked to comment on calls by some financial planners for the Australian Securities and Investments Commission (ASIC) to be more consistent in its handling of salaried planners employed by industry superannuation funds.

In particular, the advisers pointed to the manner in which superannuation fund salaried advisers were being paid out of the fund’s administration and investment fees, meaning that all members of the fund were paying for advice whether they had received it or not.

Bragg said he believed that there was a need for better disclosure on the part of all superannuation funds, irrespective of whether they were industry funds or retail funds.

He said better disclosure and transparency would make it easier for fund members to determine how their fees were being used by their superannuation funds.

Prior to his election to the Senate, Bragg has been a significant critic of the conduct of some industry superannuation funds, particularly around expenditures.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

1 year 6 months ago
Kevin Gorman

Super director remuneration ...

1 year 7 months ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

1 year 7 months ago

The rollout of further tariffs in the US from August is expected to decrease economic growth in the US in the longer term, AMP and asset managers warn....

7 hours ago

Superannuation funds have posted another year of strong returns, but this time, the gains weren’t powered solely by Silicon Valley....

7 hours 15 minutes ago

Australia’s $4.1 trillion superannuation system is doing more than funding retirements – it’s quietly fuelling the nation’s productivity, lifting GDP, and adding thousand...

7 hours 36 minutes ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
2
DomaCom DFS Mortgage
95.46 3 y p.a(%)
5