SuperEd will add a retiree service for super funds and secure a direct-to-consumer offer after finalising its merger with consumer advice platform Retirement Essentials, the digital advice provider said.
SuperEd said the deal would enable it to benefit from Retirement Essentials’ valuable insights into the online user experience and behavioural preferences of seniors. The firm would then be able to leverage these insights to enhance its B2B offering to super funds who are experiencing increasing numbers of members moving into retirement.
“The Age Pension is a vital source of retirement income for 70 per cent of Australian retirees. Consequently, super funds need to help members plan obtain, and then retain, their Age Pension entitlements, and to properly incorporate the Age Pension income streams in their retirement income planning,” said Jeremy Duffield, co-founder and chairman of SuperEd.
As part of the merger, Retirement Essentials founder Paul Rogan will join SuperEd as chief executive officer alongside SuperEd co-founder and managing director Hugh Morrow.
Paul Rogan will be responsible for sales, marketing, advice and operations and will remain CEO of Retirement Essentials while Hugh Morrow will be responsible for technology, platform and client delivery.
Rogan will increase his already significant stake in SuperEd and will join the board as part of an equity swap deal.
SuperEd said the merger expands its channels to market from its traditional offering via super funds, advisers and other traditional financial institutions to providing a complete B2B and B2C solution that can offer tailored digital advice and support service for both individuals and businesses.
“This places us at the cutting edge of digital advice solutions in Australia at a time when the major banks are divesting their wealth management solutions, independent advisors are ramping up their investment in innovation and super funds are stepping up to the challenge of delivering affordable financial advice to millions of Australians,” said SuperEd co-founder and managing director Hugh Morrow.
“When founding SuperEd, we had planned to develop a direct-to-consumer channel that could help cater to the ongoing advice needs of everyday Australians to complement the wholesale solution we provide to institutions. Merging with Retirement Essentials accelerates those plans and positions us strongly for future scale and growth.”