POWERED BY MOMENTUM MEDIA
Australians still short of comfortable retirement
Australians are still in danger of falling short of a comfortable retirement, according to new data released at the Conference of Major Superannuation Funds (CMSF) this week.
The data, the product of research by Professor Ken Davis at the Australian Centre for Financial Studies, referenced results from the Australian Securities and Investments Commission (ASIC) retirement calculators to point to a deficiency in retirement income even among younger Australian workers - and therefore continuing significant reliance on the age pension.
However the research also pointed to superannuation being a better option for delivering on a comfortable retirement than reliance on the value of the family home.
It suggested that super had twice the effect of home value.
On the question of whether Australians were topping up their superannuation via their own contributions, the research pointed to a worrying downward trend since 2002, suggesting that most Australians were relying almost entirely on the superannuation guarantee.
This seemed to be reflected in the fact individual superannuation accumulation appeared to have slowed from levels recorded between 2002 and 2006.
AUTHOR
Mike Taylor
Recommended for you
In its pre-election policy document, the FSC highlighted 15 priority reforms, with superannuation featuring prominently, urging both major parties to avoid changing super taxes without a comprehensive tax review.
The Grattan Institute has labelled the Australian super system as “too complicated” and has proposed a three-pronged reform strategy to simplify superannuation in retirement.
Super funds delivered a strong 2024 result, with the median growth fund returning 11.4 per cent, driven by strong international sharemarket performance, new data has shown.
Australian Ethical has seen FUM growth of 27 per cent in the financial year to date.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
36.43 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
35.08 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.72 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
29.60 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
27.64 3 y p.a(%)
