Productivity Commission draft report opens up default fund sphere
Industry super funds would lose much of their primacy in the default funds sphere if the Government were to accept the recommendations contained in the Productivity Commission's draft report into default funds under modern awards.
The Productivity Commission has found that there is no case for the selection and ongoing assessment of superannuation for listing as default funds to involve any prescriptive criteria over and above those used by the Australian Prudential Regulation Authority in authorising MySuper products.
The bottom line of the finding is that all MySuper products would be capable of selection as default funds – something which would create further opportunity for major retail players such as AMP and Colonial First State.
Updated: Industry super funds' primacy in question following Productivity Commission findings.
Recommended for you
AMP is to launch a digital advice service to provide retirement advice to members of its AMP Super Fund, in partnership with Bravura Solutions.
Unveiling its performance for the calendar year 2024, AMP has noted a “careful” investment in bitcoin futures proved beneficial for its superannuation members.
SuperRatings has shared the median estimated return for balanced superannuation funds for the calendar year 2024, finding the year achieved “strong and consistent positive” returns.
The second tranche of DBFO reforms has received strong support from superannuation funds and insurers, with a new class of advisers aimed to support Australians with their retirement planning.
