Super funds insourcing services
Superannuation funds are likely to reduce the degree to which they outsource services and increasingly seek to deliver value to members themselves.
That is the assessment of ClubPlus Super chief executive, Paul Cahill, who told Money Management's Platforms and Wraps Conference that superannuation funds, including industry funds, were bringing an increasing level of functions in-house.
Further, he said he believed that this was something that would only increase over time.
However, Cahill said he believed it was unlikely that comparatively smaller funds such as ClubPlus would bring investment management significantly in-house, as this was something was something that required scale.
"That is something for the mega-funds," he said.
Cahill said he believed that while superannuation funds might well deliver a MyPension product in similar terms to the way in which they had delivered MySuper products, annuities represented an entirely different proposition.
"Annuities require very large account balances and that is not all that common," he said.
Recommended for you
Financial Services Council chief executive, Blake Briggs, is urging Minister for Financial Services, Stephen Jones, to take advantage of the QAR opportunity to reduce regulatory duplication and ensure advice is affordable.
Former chair of the House of Representatives’ Standing Economics Committee, Tim Wilson, is planning a return to politics after losing his seat in the 2022 federal election.
Morningstar is going to offer research ratings of funds in the $3.5 trillion superannuation sector for the first time in response to demand from financial advisers.
Treasurer Jim Chalmers has opened a consultation into the design of the annual superannuation performance test, canvassing views on a range of reform options.
