POWERED BY MOMENTUM MEDIA
Westpac sells BT Super to Mercer
Westpac and BT Funds Management have entered into a Heads of Agreement to merge, through a successor fund transfer (SFT), BT’s personal and corporate superannuation funds with Mercer Super Trust.
Additionally, Westpac entered into an agreement to sell its Advance Asset Management business to Mercer Australia.
In an announcement to the Australian Securities Exchange (ASX), Westpac said the merger of BT Super and sale of Advance remained subject to certain conditions and regulatory approvals and was expected to be completed in the first half of 2023.
The merger was of BT’s personal and corporate superannuation funds which had total funds under administration of $37.8 billion at the end of March 2022 and included the Westpac employee default plan. Westpac said BT employees who supported these funds would be offered employment by Mercer as part of the agreement.
The merger did not include superannuation held on Westpac’s BT Panorama and Asgard platforms.
The bank said the SFT would result in a small loss as a result of transaction and separation costs and the sale of Advance would result in a gain. The net effect of both over the remainder of FY22 and FY23 was expected to be an after-tax gain of $225 million.
Trustee chair, Gai McGrath, said: “The trustee engaged broadly across the industry and after a robust and competitive process this merger will create a larger superannuation fund with the potential to deliver improved performance, lower fees, and broader member services”.
Recommended for you
The Federal Court has ordered AustralianSuper to pay $27 million for failures to address multiple member accounts.
The country’s fourth-largest fund is targeting the “missing middle” of members with a new digital advice service in partnership with Ignition Advice.
The prudential regulator confirmed it is considering BUSSQ’s Federal Court appeal.
The Albanese government has put forward a bold proposal to tackle the challenges of Australia’s swelling retirement pool, in an effort to allow superannuation funds to play a more active role in shaping members’ retirement outcomes.
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
31.78 3 y p.a(%)
3
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
30.80 3 y p.a(%)
5
Fidante Credit Suisse Global Private Equity
28.31 3 y p.a(%)
