Super

Under the updated RG276, ASIC has made it clear that any retirement calculator must be agnostic to product.

Self-managed super funds have once again returned to popularity in recent years, with establishments seeing growth once again, as more Australians become engaged with their retirement assets.

Bringing oversight to a multi-trillion dollar sector was important, but the regulations are far from perfect, with many suggesting they effectively direct industry funds toward an indexed approach, or alternatively, don’t appreciate the nuances of investing for the very long-term.

As share markets fall, superannuation research houses are predicting a negative financial year for both balanced and growth superannuation funds.

The peak body for those advising self-managed super funds, the SMSF Association, has called for a higher education requirement for the sector.

During a recent presentation of Invesco Global Consulting’s program, Priceless, I asked a room full of advisers how many of them had changed the way they do their annual client review meetings in the last 5 years (COVID19 changes aside). 

The lockdowns of 2021 and a trend for younger people to set up a self-managed superannuation funds (SMSFs) have driven a sharp growth in the number of funds being established in Australia with assets their assets under management (AUM) now approaching $1 trillion.

Given the flood of changes and regulatory oversight that has resulted from the Royal Commission, it likely comes as a surprise to many that the impending Quality of Advice Review, was actually a recommendation of Commissioner Hayne.

Once a stalking horse for a small cabal of noisy backbenchers, “Home First, Super Second” has found its way into the Coalition’s policy arsenal ahead of an unpredictable election.

There is growing pressure on the long-awaited Quality of Advice review to deliver real change to an industry that has been saddled with layer after layer of regulation, compliance and paperwork.

The VIX Volatility Index or Fear Index hit a 52-week high of 38.94 last week after $65bn was wiped off the Australian share market.

“We are at a critical crossroad, with an aging population, and the “Great Australian Wealth Transfer” at our doorstep” explained Lifespan Financial Planning CEO Eugene Ardino in an open letter to Scott Morrison and Anthony Albanese on the eve of the Federal Election.