AUSTRALIA - The recently announced changes by the government are set to increase total assets in the superannuation system by more than 20% by 2020, according to actuaries Rice Warner.
In its superannuation market projections, Rice Warner highlighted changes in the composition and size of the superannuation industry from a base measurement in mid 2005 forward 5, 10 and 15 years.
While finding total superannuation assets were likely to jump 20% as a result of the change, it also found that average balances on retirement would more than double in real terms over the next 15 years.
There would also be a significant shift from lump sums to pensions as members chose to maintain their benefits in a tax-free environment, Rice Warner said.
Recent superannuation changes, including the regulatory and taxation changes made in the last two Federal Budgets will dramatically change Australian savings patterns, and the key question for each generation and for individuals is whether their savings will be enough when combined with a part or full Age Pension for them to live well for the duration of their retirement."
The Pensions and Lifetime Savings Association (PLSA) is in the process of convening an industry-wide group to take forward the work of the Institutional Disclosure Working Group (IDWG).
The Transfers and Re-registration Industry Group (TRIG) has given its support to an initiative which aims to complete occupational pension transfers within three weeks.
Scottish Widows has completed a bulk annuity deal for the Hitachi UK Limited Pension Scheme.