Australian’s superannuation balance sizes revealed in ASFA’s latest report

The latest ASFA report on superannuation account balances was released in July. The Better Retirement Outcomes report showed that Australian superannuation account balances are growing sustainably, but they still lag behind the Comfortable Retirement Standard.

Balances are still below target

The positive news is that the latest data shows the gender gap closing, as female account balances have grown by 15.4 per cent in the last two years, compared with 11 per cent for males.

The gender gap is closing

APRA review: who regulates the regulators?

It’s the question being asked after APRA was given a slap on the wrist and new powers following the release of the Samuel review.

“The recommendations to raise capability and deploy a more effective operating model for APRA have considerable merit but the superannuation specific recommendations need careful consideration,” said ASFA CEO Dr Martin Fahy.

A number of industry leaders have mixed feelings about APRA’s extended powers, including the foray into member outcomes. While some support the measure, others raise red flags around regulatory creep, suggesting that the main focus for APRA should be prudential regulation, as the name states.

EISS launches new website

Electricity Industry Superannuation Scheme (EISS) launched a new website in July in a bid to simplify super for their members. The website revolves around a “journey with super” concept and gives members various landing pages depending on life stages.

EISS member journeys. Source: Digital Embassies
Image: EISS member journeys. Source: Digital Embassies

No dial tone for life insurers

The Australian Securities and Investments Commission (ASIC) has put forward a proposal to ban telephone sales of life insurance.

“ASIC will step in to stop practices that lead to poor consumer outcomes and destroy trust in the system,” ASIC commissioner Sean Hughes said.

“Such a ban is consistent with the financial services royal commission recommendations, and will provide consumers with further protections from misselling practices now, ahead of wider law reform by government.”

The proposal undergoing a consultation period before amendments can be legislated.

First State Super CEO named as a Pay Equity Ambassador

Deanne StewartFirst State Super CEO Deanne Stewart has been appointed as a Workplace Gender Equality Agency Pay Equity Ambassador.

Pay Equity Ambassadors are selected to lead their workplace, industry and the broader Australian community to achieve genuine pay equality in Australia.

Deanne Stewart said it was an honour to be selected amongst a network of some of Australia’s most influential and recognisable business leaders.

‘More than two-thirds of First State Super’s members are female and we see every day the very real long-term impact that Australia’s gender pay gap has on them during their working lives and throughout their retirement,” Stewart said.

‘We will also continue to lead the discussion on the gender pay gap in super. With women currently retiring with 47 per cent less super than men, this is an issue that affects everyone.”