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Final MySuper reforms released
MySuper product providers will need to confrom to the product dashboard standard and disclose the dollar value of fees, as well as investment performance and investment risk under new draft regulations released today.
The regulations represent the final piece of the Government's MySuper legislation.
The product dashboard standard will provide members with a one-page summary of MySuper products' key performance indicators, including an annual dollar disclosure of fees, the target investment return and a statement of investment risk.
Consumer testing of the format will occur during the consultation period, according to Minister for Financial Services and Superannuation, Bill Shorten.
The reforms also clear up a number of issues for trustees including lifecycle investment strategies, contributions from foreign super funds, and clarifies defined benefit exclusions.
Super funds will also be required to provide the Australian Prudential Regulation Authority (APRA) with early disclosure of successor fund transfers.
Shorten, said it was an important reform aimed at improving competition, transparency and comparability of superannuation products for consumers.
"This is a key aspect of the Government's MySuper reforms, and I urge members of the public, consumer groups and the superannuation industry to get involved in providing feedback," he said.
Superannuation funds that have been approved by the Australian Prudential Regulation Authority to offer a MySuper product will begin rolling out their new default options on 1 July.
Employers will be required to make contributions for employees who have not make a choice of fund into a MySuper product by 1 January next year.
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