Industry funds stand to be amongst those most affected by auto-consolidation, according to Australian Institute of Superannuation Trustees expert David Haynes.
Addressing the Conference of Major Superannuation Funds in Brisbane, Haynes acknowledged that given the growth in group life premiums in the industry funds segment, it was likely they would be most affected.
This was in circumstances where industry funds were the fastest growing segment with respect to life premiums.
Haynes said consolidation in the number of super accounts was imperative in circumstances where there were 28 million super accounts in Australia for just 11 million workers.
He said the challenge had been to find ways of reducing the number of accounts to a reasonable level while at the same time addressing account proliferation.
Future Group is set to take on nearly $1 billion in funds under management (FUM) and welcome more than 100,000 new members following two significant successor fund transfers.
Insignia’s Master Trust business suffered a 1.9 per cent dip in FUA in the third quarter, amid total net outflows of $1.8 billion.
While the Liberal senator has accused super funds of locking everyday Australians out of the housing market, industry advocates say the Coalition’s policy would only push home ownership further out of reach.
Australia’s largest superannuation fund has confirmed all members who had funds stolen during the recent cyber fraud crime have been reimbursed.