Tag: Productivity Commission

Superfunds

How do you know if you’re in the right super fund? | Xavier O’Halloran | Opinion | The Guardian

Photo of hands holding pencil and pressing calculator buttons over documents

This is the Productivity Commission’s point. We don’t have time to be chasing down old superannuation accounts, so it’s proposing our account follows to a new job. While some may be able to complete the herculean feat of figuring out the best among the 40,000 options, why not have a committee of independent experts narrow it down to the top ten so everyone can have a chance at choosing a good place to grow their retirement savings?

These two changes alone will drive $3.9bn in savings every year away from the fund managers and back into the pockets of people.

via How do you know if you’re in the right super fund? | Xavier O’Halloran | Opinion | The Guardian

Corporate Crime

Super funds treat customers with contempt? That’s putting it lightly | Greg Jericho | Business | The Guardian

Fingers crossed

Over a decade my CBA Super Fund has yeild a total of 25%. There is absolutely nothing about a fund thats annual average has been a loss. The self managed portion of my fund has had a yeild of well over 100% and I’m certainly not a professional. Dear Agony Aunt have I been “ripped off”?  (ODT)

Of the 74 funds with MySuper products, the commission found that 20 were underperforming – worth about 4.6m member accounts. Of those 20, nine were retail funds, six industry, three corporate (ie funds set up to cover employees of a company) and two public sector funds.

But that breakdown wrongly suggests the retail and industry sectors are almost equally as bad.

What those numbers hide is that the nine retail funds are among the biggest of their kind and the six poor-performing industry funds are among the smallest.

In reality, most people in dud MySuper funds are in retail funds, and most of the people in retail MySuper funds are in dud funds.
The biggest losers: Productivity Commission finds super funds wanting

via Super funds treat customers with contempt? That’s putting it lightly | Greg Jericho | Business | The Guardian