Member demand for advice on super
A huge bulk of super fund members is after good advice from their super fund providers when they interact with them, according to a newly-released survey.
The FSC-ING Direct Superannuation Sentiment Index 2014 showed 83 per cent of respondents are craving advice from their super fund providers.
The report, which was a nation survey of 1000 working Australians, said a thorough understanding of the system or engagement with it is still missing, with only 53 per cent confident enough to make decisions.
Only 11 per cent feel very informed.
"This unfamiliarity results in a disconnect with the system and a passive approach to super, and instead trust in it stems from decent regulation and stability (as evidenced by Australia's performance during the GFC)," the report said.
Also, while 64 per cent feel superannuation delivers "stability and certainty", 71 per cent feel there is a "lack of transparency", while 65 per cent are affected by proposed or present continuous change.
"In light of the proposed changes to the super system, concerns were raised in the focus groups that these short term changes affected an issue that required long term assurance," the report said.
Lack of transparency was particularly pertinent around fees, because members were not informed enough of how their funds operated or felt like there is lack of disclosure or control.
AUTHOR
Malavika Santhebennur
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