Consumer trust isn’t something to be taken for granted, but reports from the UK, US and here at home are all pointing towards an uplift in trust levels around financial advice, which can only be a welcome development.
There are significant tailwinds behind the financial advice industry at the moment, but some major obstacles are still preventing advice practices from taking advantage of surging demand according to a new study from CFS.
Super tax changes will cost retirees
The possibility for government to increase superannuation taxes in response to the ballooning
budget deficit caused by COVID-19 could severely hurt member balances at retirement, according to a research note by the global implementation specialist manager Parametric.
Raewyn Williams, head of research (Australia) and analyst Josh McKenzie, in a short paper titled
“Will retirees pay the price for superannuation tax rises?” argue that investment tax inside super
may be a political “soft target” because it won’t be felt directly in most voters’ hip pockets, but it will
come with an unfavourable “tit for tat” – the longer-term impact on retirement outcomes.
Read the full Media Release: here.
