Your home for profit-to-member Super
Join the leading voice in profit-to-member super
Our full list of member super funds
View the upcoming courses in your city
AIST's flagship educational program
Explore the history, rules and regulations of superannuation and how it fits into Australia’s economic landscape – and become RG146 compliant.
Listing of all upcoming events
The premier idea sharing and networking event for Australia’s $1.5 trillion profit-to-member super sector
AIST's annual Superannuation Investment conference
Research, insights and advocacy on the most pressing topics in super
Our response to changes in the political and policy environment
From AIST's governance code to practical guidance and toolkits
Industry news, latest resources and event updates
Stay connected to the latest policy news
Photo, audio and video content
Our mission, vision and values
Meet our team
Our board of directors, constitution and committees
News, insights and resources as they unfold.
Stay up-to-date with the issues affecting super.
AIST welcomes the opportunity to respond to this draft report. AIST agrees that there is no place for long term underperforming funds in the default space. However, we believe enhancing the current Fair Work Commission default selection process and increased APRA scrutiny are the most efficient, appropriate, and importantly the least disruptive ways, to address this issue. The Productivity Commission should address the biggest problem of underperforming choice funds in the retail sector, which is a drag on the efficiency of the super sector. The ‘best in show’ default proposal does not address this. Multiple accounts, balance erosion by fees and underperforming funds are serious issues, which are already being addressed by the APRA Outcomes Assessment Test, new ATO services. This should be enhanced by legislation supporting direct fund-to-fund consolidation of lost super. The Insurance Code should be implemented and be the focus for lifting standards. Regulator benchmarking of fees and returns should be used to assess if funds are delivering fair value and address under-performing funds.
13 July 2018