SUPERANNUATION – AUSTRALIA

Super funds told to help bailout plan

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Original article by Lucas Baird
The Australian Financial Review – Page: 15 & 19 : 10-Dec-25

The federal government will require the superannuation sector to contribute to the Compensation Scheme of Last Resort for the first time. The government intends to impose a ‘special levy’ on the super industry to help cover the scheme’s expected funding shortfall of $47.3m for the current financial year. Banks, financial advisers and stockbrokers are amongst the financial services providers that usually fund the CSLR via a levy. There has been ongoing concern about the viability of the CSLR since it was established to compensate refund victims of financial misconduct in cases where the provider is insolvent or otherwise lacks the capacity to pay.

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Super fund satisfaction improves to highest since May 2022 with Retail Fund satisfaction at a new all time high

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Original article by Roy Morgan
Market Research Update – Page: Online : 9-Jul-25

New data from Roy Morgan’s Superannuation Satisfaction Report shows an overall super fund satisfaction with financial performance rating of 69.9% in May 2025, an increase of 3.1% points from a year ago and up 4.9% points from the post-pandemic low of 65.0% in July 2023. Despite hitting a low point in July 2023 superannuation satisfaction with financial performance has remained significantly higher than the long-term average of 59.0% post-pandemic, and is now approaching the all-time high of 72.0% reached in January 2022. There has been improvement across all four different categories of super funds over the last year; the largest increase has been for Retail Funds, with customer satisfaction up 6.4% points to 69.3%. Customer satisfaction for Industry Funds is up 2% points to 69.5%, while satisfaction with Public Sector Funds is up 0.8% points to 75% and satisfaction with Self-Managed Funds is up 0.8% points to 77.7%. The report’s findings are from Roy Morgan Single Source, Australia’s most trusted consumer survey, compiled by in-depth interviews with over 60,000 Australians each year.

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ROY MORGAN LIMITED

Stokes slams ALP’s super tax hit

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Original article by Perry Williams, Jared Lynch, David Ross
The Australian – Page: 13 & 15 : 7-May-25

SGH Limited’s CEO Ryan Stokes has criticised the federal government’s proposal to tax the unrealised capital gains of superannuation funds. Stoke contends that while taxing profits is "entirely reasonable", taxing unrealised capital gains is dangerous and sets a far-reaching and concerning precedent, while it could also distort markets. The tax would initially apply to super accounts with a balance of more than $3m, but Stokes warns that it could potentially be extended to other asset classes. The Greens have advocated lowering the threshold to $2m, while the fact that the tax will not be indexed to inflations means that it will progressively apply to more people.

CORPORATES
SGH LIMITED – ASX SGH, AUSTRALIAN GREENS

Tax warning for 130,000: Labor out to get you

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Original article by Matthew Cranston
The Australian – Page: 6 : 29-Apr-25

The federal government is continuing to attract scrutiny over its plans to tax the unrealised capital gains of superannuation funds. Shadow treasurer Angus Taylor says Labor is "coming after superannuation", despite stating prior to the 2022 election that it did not plan to do so; he adds that the policy will particularly affect people such as farmers and small business owners. However, Treasurer Jim Chalmers says it is only a "modest change" that will affect a small number of people with more than $3m in their superannuation fund. Meanwhile, Wilson Asset Management chairman Geoff Wilson has expressed concern about the policy in a letter to the firm’s 130,000 investors.

CORPORATES
LIBERAL PARTY OF AUSTRALIA, AUSTRALIA. DEPT OF THE TREASURY, WILSON ASSET MANAGEMENT

Investors urge ALP not to extend tax on unrealised gains

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Original article by John Kehoe
The Australian Financial Review – Page: 6 : 16-Apr-25

The federal government is continuing to attract scrutiny over its plans to tax the unrealised gains of superannuation funds. The controversial proposal is part of Labor’s push to double the tax rate of super funds with balances exceeding $3m. A coalition of groups representing self-funded retirees, small businesses and farmers has issued a joint statement urging Labor to rule out any move to expand the unrealised gains tax beyond superannuation. The industry coalition contends that taxing unrealised gains is confiscation rather than reform.

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AUSTRALIAN LABOR PARTY

Retirees trying to change their super can’t log into their accounts

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Original article by Michelle Bowes
The Australian Financial Review – Page: 29 : 8-Apr-25

Financial advisers have cautioned superanuation fund members from making changes to their investment options – such as switching from shares to cash – in response to the global sharemarket ructions. Anxiety among super fund members has been heightened by the recent hacking attack on some funds. Access to the accounts of affected funds has been restored, but some still have limited functionality; this includes the ability to make changes to their investment options. Super funds are also emphasising to their members that superannuation is a long-time investment.

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AusSuper tipped $500m into Nvidia before DeepSeek crash

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Original article by Joshua Peach
The Australian Financial Review – Page: 20 : 4-Feb-25

Corporate filings with the US Securities & Exchange Commission show that AustralianSuper ramped up its investment in semiconductor manufacturer Nvidia during the second half of 2024. The industry superannuation fund bought 2.42 million shares in Nvidia in the December quarter; based on the stock’s average price during the period, AustralianSuper is estimated to have paid around $US304m ($489m) to increase its total exposure to Nvidia to more than $US1bn at the end of 2024. Nvidia’s market value subsequently fell by $US600m on 27 January, in response to revelations about China’s DeepSeek artificial intelligence model.

CORPORATES
AUSTRALIANSUPER PTY LTD, NVIDIA CORPORATION, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION

Labor axes aspirational 15 per cent super guarantee goal

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Original article by Sarah Ison
The Australian – Page: 4 : 29-Jan-25

The superannuation guarantee is scheduled to increase to 12 per cent in July, and Assistant Treasurer Stephen Jones says the federal government has no plans to further increase it. However, Labor’s national platform in 2023 included setting a ‘pathway’ to increasing the super guarantee to 15 per cent once the initial target of 12 per cent has been reached. Jones says the policy platform is merely a set of principles rather than binding commitments, and Labor has no plans to further increase the super guarantee.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIAN LABOR PARTY

The $5.1 billion problem costing one in four workers

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Original article by Millie Muroi
The Age – Page: Online : 28-Aug-24

The Super Members Council estimates that about 2.8 million workers were not paid their full superannuation entitlement in 2021-22, which equates to one in four workers. The underpayment totalled $5.1bn, which is around $1,800 per worker. The council says this could reduce affected employees’ retirement payouts by around $30,000; it also notes that unpaid super could force many people to delay their retirement. The council contends the federal government’s legislation requiring employers to align super contributions with their pay period rather than each quarter will help reduce underpayments; however, Labor has yet to legislate the change.

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SUPER MEMBERS COUNCIL

Stunning equity rallies bring super result

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Original article by Hannah Wootton
The Australian Financial Review – Page: 3 : 24-Apr-24

Data from Chant West shows that the median growth superannuation fund posted a return of 8.8 per cent for the first nine months of 2023-24. This is just shy of the total return of 9.2 per cent for the full 2022-23 financial year. Chant West’s Mano Mohankumar says the performance of Australian and international equities were the key driver for the strong return; he notes that growth funds have gained 11 per cent since November, after losing 1.9 per cent in the first four months of the financial year. Balanced funds delivered a return of seven per cent for the nine months to 31 March.

CORPORATES
CHANT WEST FINANCIAL SERVICES PTY LTD