Retired Australians want financial security and peace of mind, but are worried about gambling their life savings on share market-dominated superannuation, research from National Seniors Australia’s new study shows.
It points to a failure of the superannuation system to help retirees safely convert their savings into reliable income that lasts a life time.
Professor John McCallum, National Seniors chief executive officer, said the study revealed the conflict experienced by many retirees who felt they had little option, but to continue ‘gamble’ in the share market, despite a low tolerance for risk.
“When members reach retirement, the risk of managing their superannuation savings shifts from the super fund trustee to the retiree who may have little experience with this,” McCallum said.
“It is both a clear opportunity and a responsibility for the superannuation sector and government to reset the regulatory and product focus of superannuation to better meet the needs of Australian retirees.”