NatMut takes super trust outside
National Mutual is to sell a wholesale superannuation master trust through independent advisers — the first time it has gone outside its tied distribution network.
The trust is aimed at small to medium-sized enterprises with between two and 1000 employees.
Another first is the fact that the new product is being launched under the AXA Australia brand. National Mutual Funds Management chief executive Mark Armour says this branding will appear on a number of other products in 1999.
The new master trust, called Super Directions, will offer a choice of managers that includes Colonial First State, Fidelity and Merrill Lynch as well as the in-house fund management team
There is no switching fee, says Amour and a rewards program offering discounts on home loans, life and health insurance has been attached to the product.
Armour admits this is a new area for advisers and adds selling wholesale superannuation requires special knowledge and expertise.
Training for advisers will be computer-based and seminar packs for member education will be included in the support services offered by National Mutual.
Advisers will have control of entry and contribution. Fees will be up to 5 per cent of contributions. Armour says there has been no skewing the fee structure towards fund managers, advisers will receive the same regardless of which manager they select for their client's money.
Armour says the reason why Super Directions hasn't been launched as a wrap account was that research found that small to medium sized companies were seeking simplified options to outsource their superannuation operations.
He has not ruled out adding other services to the master trust later in the year.
These could take the product into the realms of a wrap account.
Recommended for you
There is a gap in the market for Australian advisers to help individuals with succession planning as the country has been noted by Capital Group for being overly “hands off” around inheritances.
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
Having peaked at more than 40 per cent growth since the first M&A bid, Insignia Financial shares have returned to earth six months later as the company awaits a final decision from CC Capital.
Private market secondaries manager Coller Capital has unveiled a new education platform to improve advisers’ and investors’ understanding of secondaries.
