POWERED BY MOMENTUM MEDIA
AvSuper seeks merger partner
Aviation-focused superannuation fund, AvSuper, has set out an expression of interest for a potential merger partner.
The fund, focused on the aviation industry, had $2 billion in funds under management and 6,500 members.
In a statement, the fund said it was getting harder to sustain the costs of running the fund as a small player.
“Because we’re a small super fund with a small number of members, it’s getting harder for us to sustain these costs,” it said.
“So, we’re about to ask a select group of super funds to express an interest with partnering with us in the future.”
Funds would need to demonstrate their ability to maintain the fund’s defined benefit scheme and insurance coverage for its specific member occupations. They would also need to demonstrate an equal to or greater net benefit to members, be a tailored service model and offer alignment with key stakeholders.
It said it expected responses from funds in early 2022 and, if successful, a change would happen between October 2022 and April 2023 following a due diligence process.
“Strategic decisions, such as a merger, are made by the AvSuper Trustee, who is charged with delivering the best it can for members,” it said.
“Of course, we will continue to engage with employers including Airservices, employee bodies and other stakeholders in respect of any merger activity.”
This was the latest in a series of super mergers with Aware Super completing its merger with VISSF and Hostplus finalising its merger with Intrust Super.
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
The Super Members Council (SMC) has called for a removal of the “outdated” 30-hour threshold for workers under 18 to guarantee all young Australian workers receive a super start to work.
SuperRatings has shared the median estimated return for balanced superannuation funds for the calendar year 2024.
The $90 billion fund delivered double-digit returns in its flagship Growth option last year and remains optimistic for 2025.
A strategic overweight to US and global equities along with an increased exposure to private debt and diversified credit has seen AMP deliver a return of more than 15 per cent for its three largest Lifestage cohorts in 2024.
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
32.71 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
30.61 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
27.64 3 y p.a(%)
