Retail superannuation funds are facing tough times and a need for change in the wake of the Royal Commission but they will survive and eventually thrive.
That was the assessment of a panel made up of the chief executives of the major superannuation industry organisations during a conference held by Money Management’s sister publication, Super Review, in Melbourne.
The chief executives were asked to comment on the future of the retail funds in the context of recent data pointing to members transferring their balances to industry funds.
Financial Services Council chief executive, Sally Loane said that the animal spirits of free enterprise were not to be underestimated and that she believed the retail master trusts would adjust to new environment and continue to play a key role.
Australian Institute of Superannuation Trustees (AIST) chief executive, Eva Scheerlinck agreed with Loane and said that while some of the retail funds had been made to pay a price by the Royal Commission she believed they would continue to play a role.
“We welcome the competition,” she said.
Association of Superannuation Funds of Australia chief executive, Dr Martin Fahy noted the important role the retail funds played in a choice environment and that he also believed they would survive.