Asset recycling model will help super funds invest in nation-building projects: ASFA

The Association of Superannuation Funds of Australia (ASFA) has welcomed the Treasurer’s announcement that the state treasurers are open to an incentivised capital recycling model to help meet Australia’s infrastructure needs.

ASFA CEO Ms Pauline Vamos says such a model will help facilitate superannuation fund investment in infrastructure, by providing a much-needed pipeline of investable projects.

“There’s no doubt superannuation funds have an appetite to invest in infrastructure, however investment has often been stifled due to a lack of suitable, available projects. Providing incentives to the states to recycle their infrastructure capital will help deliver a pipeline of projects which are a better fit for many superannuation fund portfolios.”

Ms Vamos says superannuation investment in infrastructure also benefits governments and the community.

“Superannuation funds are interested in achieving long-term, sustainable investment returns. This aligns with the interests of governments and the community, who want to ensure that these important assets are managed responsibly and for the long-term benefit of society.

“In addition, recycling this capital into new projects, where investors are less likely to take on the risk, will help fund the nation’s infrastructure needs.”

For further information, please contact:

Lisa Chikarovski, Media Manager, 0451 949 300.

About ASFA

ASFA is the peak policy, research and advocacy body for Australia’s superannuation industry. It is a not-for-profit, sector-neutral, and non-party political national organisation, which aims to advance effective retirement outcomes for members of funds through research, advocacy and the development of policy and industry best practice.