AUSTRALIA - Australia's superannuation industry has been described as a multi-billion dollar "battleground" in Deloitte's Actuaries and Consultants latest analysis of the industry.
In the report Analysis - A Multi Billion Dollar Battle, Deloitte said many argued that fund choice had been a non event, but its actuarial modelling debunked this as a myth. Actual fund switches, reported at levels of 3%-5%, involved billions of dollars each year.
Walker said: "This is just the tip of the iceberg. Many Australians are exercising choice by remaining in their current fund when they change employment. They are choosing not to move into the default fund of their new employer which goes largely unrecorded and remains invisible."
Deloitte took just one component of "visible" switching, and calculated that if industry funds reduced switching from about 2.5% to 1.25%, then by 2021 the industry funds would hold an extra 23% (A$200bn) of pre-retirement assets, and an extra 48% (about A$70bn) of post retirement assets.
Walker said: "Membership is both the battleground and the prize for superannuation funds.
"The key to success is product quality and the ability of a fund to engage effectively with its members and deliver tailored solutions to them.
"What we are observing, and what Deloitte believes will become more important, is that funds of all types will invest in improving their ability to engage with members. This will build relevance, and enable members to better tailor their super to meet their own individual needs."
The Pensions Regulator (TPR) and Labour MP Stephen Kinnock and will listen to the experiences of steelworkers when transferring their pensions away from the British Steel Pension Scheme (BSPS) next week in Port Talbot.
Just Group has acquired a 75% stake in the holding company of Corinthian Pension Consulting in a bid to strengthen its professional defined benefit (DB) advisory services.
The Pensions Regulator (TPR) has exercised its production order power under the Proceeds of Crime Act 2002 for the very first time as part of a fraud investigation.
The ITN Limited Pension Scheme has named Trafalgar House as its administrator for an initial term of five years.