Not one superannuation document from any super fund is easily read, according to research.
A report by writing consultancy, Ethos CRS found not one document came close to reaching its desired benchmark score of 100. The average readability score for 80 documents from 20 companies was 45.6.
CareSuper had the highest readability score at 49.4, followed by Hesta and AustralianSuper both at 49.2, and Cbus Super at 48.4.
Ethos CRS chief executive, Chas Savage, said: “These findings suggest that super funds still have some work to do if they are to engage clearly and effectively with fund members.
“The decision to invest with the right superannuation fund is important. All super funds face the challenge of delivering complex information to a diverse range of members – and levels of financial literacy vary widely. This means that super funds must be clear when discussing the financial services they provide, the performance of funds they manage, and the rights and responsibilities of fund members.
“Given so many Australians are neither advanced readers nor expert financial analysts, one simple step for super funds is to produce clearer, more readable content.”
Despite strong superannuation returns at the start of the financial year, super funds could be in for a rockier ride ahead with volatility expected to increase.
An industry veteran says superannuation funds should be doing more to help Australians manage their retirement savings while financial advice remains unattainable for many.
The industry fund has flagged the ASX-listed company for “recent governance failures” regarding its response to allegations made against its CEO.
Funds grappled with a challenging October as SuperRatings reports a modest 0.3 per cent return for the median balanced option.