POWERED BY MOMENTUM MEDIA
Post-retirement new target for super funds
Superannuation funds are changing their focus from pre-retirement adequacy advice to at-retirement and post-retirement, even as more of their members move into retirement, Investment Trends research show.
Super funds like VicSuper, EquipSuper, and Australian Catholic Super were among the first funds to initiate retirement income services for members by launching new products and taking an options-based approach to retirement advice.
Investment Trends' technology analyst, Ian Webster, said super funds should particularly target those members for whom the adviser-focused comprehensive advice model is unsuitable.
"The differences between retirement and investment advice provide an opportunity for funds to develop a member benefits focused advice model, to be delivered at the time most members will be looking for retirement advice," Webster said.
Super funds were also utilising digital technology and regulatory change to provide member super account services.
The launch of the Lost Super and Super Rollover campaigns over the past two years led funds to set out a ‘grow your super' approach to member engagement.
Deloitte Digital's re-construction of QSuper's online channel with account-based self-directed intra-fund advice from Decimal set the benchmark on driving member engagement.
"The proliferation of self-directed account services on super admin platforms enable funds to use their education and engagement activities to help each member improve their retirement benefits," Webster said.
AustralianSuper was at the top of the heap for all round fund member engagement services, while QSuper came in second, NGSSuper finished third, and Sunsuper ranked third, while HOSTPLUS rounded out the top five funds.
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
32.68 3 y p.a(%)
2
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.72 3 y p.a(%)
3
Spire Oaktree Opportunities XI First Close USD
31.36 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(%)
