POWERED BY MOMENTUM MEDIA
40% of super members expect a comfortable retirement
Only 40% of Australia’s superannuation fund members expect to have a comfortable lifestyle in retirement while half of current retirees say their lifestyle is comfortable, according to a survey commissioned by Challenger Life.
The survey of over 3,000 super fund members aged over 45 revealed that older people were more likely to expect comfort in retirement.
Aaron Minney, Challenger head of retirement income research, said the disparity could partially be explained by older people having more savings while younger savers had yet to see the fruits of compounding returns.
According to Minney, the survey also showed the typical super fund member did not think about retirement risks in the same way as superannuation professionals.
“Many members did not know what longevity risk means and importantly how it can be managed,” Minney said.
“There is this one-sided concern that they might outlive their savings rather than also thinking about solutions that can provide secure lifetime income.”
Minney said the survey showed women, people under 65 and those expecting a basic lifestyle were more likely to be concerned about outliving their retirement savings.
Data from the survey showed people with a financial plan, whether formal or otherwise, tended to have lower concerns about their retirement lifestyle.
Some four-in-10 of those with plans said they were not concerned about their savings, compared to only 17% for those without a plan.
Recommended for you
Governor Michele Bullock took a more hawkish stance on Tuesday, raising concerns over Donald Trump’s escalating tariffs, which sent economists in different directions with their predictions.
Equity Trustees has announced the appointment of Jocelyn Furlan to the Superannuation Limited (ETSL) and HTFS Nominees Pty Ltd (HTFS) boards, which have oversight of one of the companies’ fastest growing trustee services.
Following growing criticism of the superannuation industry’s influence on capital markets and its increasing exposure to private assets, as well as regulators’ concerns about potential risks to financial stability, ASFA has released new research pushing back on these narratives.
A US-based infrastructure specialist has welcomed the $93 billion fund as a cornerstone investor.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Global X GlobalX FANG+ ETF
33.51 3 y p.a(%)
2
Spire Oaktree Opportunities XI Second Close
32.68 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.62 3 y p.a(%)
4
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
5
Fidante Credit Suisse Global Private Equity
29.60 3 y p.a(%)
