SUPERANNUATION – AUSTRALIA

Super funds push for more ESG disclosure

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Original article by Ruth Liew
The Australian Financial Review – Page: 22 : 3-Mar-16

Australian-listed companies are under pressure to report more thoroughly their environmental, social and governance (ESG) practices. On 2 March 2016, the Australian Council of Superannuation Investors (ACSI) and the Financial Services Council launched a new guide on corporate disclosure of ESG information to shareholders. Research by ACSI suggests that the ESG disclosure practices of ASX 200 companies are inadequate.

CORPORATES
FINANCIAL SERVICES COUNCIL, AUSTRALIAN COUNCIL OF SUPERANNUATION INVESTORS INCORPORATED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Long-term nature of superannuation has negative impact on engagement

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Original article by Roy Morgan Research
Market Research Update – Page: Online : 20-Jan-16

A Roy Morgan Single Source survey has found that 30.3 per cent of Australians aged 18 to 64 consider retirement too far away to plan for. The survey, which was carried out in the year to October 2015, also shows that70 per cent of Australians up to the age of 21 feel that retirement is too far away to plan, compared with 31.4 per cent of those in the 35-39 age group and 16.6 per cent of those in the critical pre-retirement years of 50 to 54. Meanwhile, 38 per cent of Australians aged 18 to 64 agree that they should plan for their financial future but procrastinate and give other things priority.

CORPORATES
ROY MORGAN RESEARCH LIMITED

Over $35 billion in superannuation switched but nearly one third of switchers didn’t get any advice

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Original article by Roy Morgan Research
Market Research Update – Page: Online : 6-Jan-16

A Roy Morgan Single Source (Australia) survey has found that 3.2 per cent of superannuation products (or more than $A35bn) were switched annually in the three years to November 2015. The survey also shows that 26.9 per cent of those switching their superannuation got advice from a financial planner or advisor, 18.2 per cent received advice from their employer and 11.8 per cent were advised by a friend or family. However, 31 per cent of those switching funds did not receive any advice. Meanwhile, 37.2 per cent of those switching to an industry fund did not get any advice, while 42 per cent of those switching to a retail fund received advice from a professional advisor.

CORPORATES
ROY MORGAN RESEARCH LIMITED

Cbus workers charged over CFMEU leak

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Original article by Ewin Hannan, Nick McKenzie, Richard Baker
The Australian Financial Review – Page: 5 : 1-Dec-15

Former Cbus employees Maria Butera and Lisa Zanatta have been charged with giving misleading evidence to the Royal Commission into Trade Union Governance and Corruption. They allegedly leaked details of the superannuation fund’s members to Brian Parker, the New South Wales secretary of the Construction, Forestry, Mining & Energy Union. Parker may also be charged.

CORPORATES
CONSTRUCTION, FORESTRY, MINING AND ENERGY UNION OF AUSTRALIA, CONSTRUCTION AND BUILDING UNIONS’ SUPERANNUATION FUND, LIS-CON HOLDINGS PTY LTD, MELBOURNE MAGISTRATES’ COURT, AUSTRALIAN FEDERAL POLICE, AUSTRALIA. ROYAL COMMISSION INTO TRADE UNION GOVERNANCE AND CORRUPTION

Diversify call to super funds

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Original article by Joyce Moullakis
The Australian Financial Review – Page: 17 : 19-Oct-15

Australian superannuation funds are forecast to have some $US2.5trn ($A3.4trn) worth of assets under management by 2020, compared with $A2bn at the end of March 2015. Itay Tuchman of Citigroup says the strong growth in assets under management in coming years will require super funds to further expand the range of international asset classes in which they invest. Meanwhile, Tuchman says Westpac’s move to increase its mortgage interest rates will strengthen the case for a further reduction in the cash rate.

CORPORATES
CITIGROUP PTY LTD, WESTPAC BANKING CORPORATION – ASX WBC, RESERVE BANK OF AUSTRALIA, JP MORGAN AUSTRALIA LIMITED, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, AUSTRALIANSUPER PTY LTD, IFM INVESTORS PTY LTD, INDIANA TOLL ROAD CONCESSION COMPANY, CANADA PENSION PLAN INVESTMENT BOARD

Big banks grab third of $30b in super fees

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Original article by Jacob Greber
The Australian Financial Review – Page: 4 : 12-Oct-15

Research undertaken by Rainmaker on behalf of Industry Super Australia shows that Australia’s four major banks received about 33 per cent of the $A30bn paid in superannuation fees in 2014-15. Retail super funds and not-for-profit super funds accounted for about 50 per cent and 25 per cent of fees respectively. ISA CEO David Whiteley has expressed concern about the level of transparency in the super industry.

CORPORATES
INDUSTRY SUPER AUSTRALIA PTY LTD, RAINMAKER INFORMATION SERVICES PTY LTD, AMP LIMITED – ASX AMP, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET

Satisfaction with retail superannuation funds catching up to industry funds

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Original article by Roy Morgan Research
Market Research Update – Page: Online : 30-Sep-15

A Roy Morgan Single Source survey has found that 59.6 per cent of Australians aged 14+ who are members of an industry superannuation fund were satisfied with their fund’s financial performance in the six months to August 2015. This compares with a 58.9 per cent satisfaction rating for members of retail super funds. However, retail funds have a higher satisfaction rating among people whose super balance exceeds $A700,000 (81.1 per cent compared with 77.6 per cent). Retail funds also have a marginally higher level of satisfaction than industry funds among fund members whose super balance is less than $A5,000 (48.9 per cent compared with 44.4 per cent).

CORPORATES
ROY MORGAN RESEARCH LIMITED

Morrison: GST hike could ease worker tax burden

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Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 5 : 30-Sep-15

Treasurer Scott Morrison has indicated that the Australian Government will ensure that there is no overall increase in the tax burden. He has told Sky News that income tax cuts would be implemented to offset any increase in other taxes, such as the GST. The corporate tax rate and superannuation tax breaks are also likely to be on the agenda when Prime Minister Malcolm Turnbull and key government ministers meet with business, union and community organisation leaders on 1 October 2015.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF FINANCE, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE, SKY NEWS, BUSINESS COUNCIL OF AUSTRALIA, ACTU, AUSTRALIAN COUNCIL OF SOCIAL SERVICE, COUNCIL ON THE AGEING, THE AUSTRALIAN INDUSTRY GROUP, KPMG AUSTRALIA PTY LTD, AUSTRALIAN BROADCASTING CORPORATION, AUSTRALIAN LABOR PARTY

Retiring CIO: new board rules will be good for super funds

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Original article by Sally Rose
The Australian Financial Review – Page: 19 : 21-Sep-15

Sunsuper will appoint Michael Traill and Andrew Fraser as independent directors. However, CEO Scott Hartley opposes the Australian Government’s proposal to require one-third of super fund’s boards – including the chairman – to be independent. In contrast, outgoing chief investment officer David Hartley favours the push for greater independence of directors. He notes that industry super funds with equal representation by employers and employees have tended deliver good returns.

CORPORATES
SUNSUPER PTY LTD, MACQUARIE GROUP LIMITED – ASX MQG, SOCIAL VENTURES AUSTRALIA LIMITED, QUEENSLAND. TREASURY, THE ASSOCIATION OF SUPERANNUATION FUNDS OF AUSTRALIA LIMITED, FINANCIAL SERVICES COUNCIL, AUSTRALIAN CONSUMERS’ ASSOCIATION, QSUPER LIMITED, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIANSUPER PTY LTD, KPMG AUSTRALIA PTY LTD, INDUSTRY SUPER AUSTRALIA PTY LTD, AUSTRALIAN INSTITUTE OF SUPERANNUATION TRUSTEES, AUSTRALIAN WORKERS’ UNION-FEDERATION OF INDUSTRIAL, MANUFACTURING AND ENGINEERING EMPLOYEES, TELSTRA SUPERANNUATION SCHEME

Super fund CEO ‘knew’ about leak

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Original article by Ewin Hannan
The Australian Financial Review – Page: 1 & 6 : 8-Sep-15

Cbus CEO David Atkin has been accused of being likely involved in the leaking of confidential information to the construction industry union. Jeremy Stoljar, counsel assisting the Royal Commission into Trade Union Governance & Corruption, also stated in a submission to royal commissioner Dyson Heydon that the relationship of Cbus with the Construction, Forestry, Mining & Energy Union was problematic and characterised by "serious cultural problems."

CORPORATES
CONSTRUCTION AND BUILDING UNIONS’ SUPERANNUATION FUND, CONSTRUCTION, FORESTRY, MINING AND ENERGY UNION OF AUSTRALIA, AUSTRALIA. ROYAL COMMISSION INTO TRADE UNION GOVERNANCE AND CORRUPTION, LIS-CON HOLDINGS PTY LTD