Slow adoption of IT holding super sector back
Australia’s superannuation sector is being held back by its slow adoption of technology, Financial Services Council chief executive, John Brogden believes.
While super has been “working well” and “delivering huge benefits” to the Federal Government and the financial sector, Brogden said IT could boost those benefits even further.
“By and large the superannuation sector is effectively allocating capital back into the Australian financial system,” he said.
“Australia’s savings rate is three times higher than it would have been without superannuation. Today, Australia’s superannuation sector is worth $1.8 trillion, it will move to $3 trillion in 2025 and to $5.5 trillion by 2030.
“Our industry hasn’t positioned itself to fully take advantage of technology. However, this is changing as super funds want to remain innovative and competitive.
“Over the past few years, the super industry has been focused on compliance. This focus is shifting to innovating through technology.”
AUTHOR
Nicholas O'Donoghue
Nicholas is a journalist for Money Management and Super Review. Nicholas has several years experience as a journalist, reporting and managing websites for various news publications covering the medical and pharmaceuticals sector.
Recommended for you
CPA Australia urges the ATO to extend compliance support for small businesses facing major system changes ahead of Payday Super reforms.
Superannuation funds ramp up collective efforts to counter rising cybercrime, updating standards and sharing intelligence across the industry.
The regulator has fined two super funds for misleading sustainability and investment claims, citing ongoing efforts to curb greenwashing across the sector.
Super funds have extended their winning streak, with balanced options rising 1.3 per cent in October amid broad market optimism.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
225.31 3 y p.a(%)
2
Loftus Peak Global Disruption Fund Hedged
121.06 3 y p.a(%)
3
Global X 21Shares Bitcoin ETF
72.47 3 y p.a(%)
4
Paradice Australian Mid Cap A
69.09 3 y p.a(%)
5
Smarter Money Long-Short Credit Investor USD
68.96 3 y p.a(%)
