confluence of events. The findings of the financial services Royal Commission have placed the industry under intense pressure to improve customer outcomes via greater transparency, lower fees and fit-for-purpose offerings.
With the Federal Government pledging to implement the Royal Commission recommendations, as well as additional compliance obligations coming into force, including the 'Protecting Your Super' reforms and APRA's Strategic Planning and Member Outcomes
Prudential Standard SPS 515, there is mounting pressure on super funds to 'lift their game'.
Beyond our own backyard, we are seeing a regulatory focus on improving customer outcomes across wealth management markets globally. Greater transparency and disclosure of costs to customers and members is a key part of this trend. In New Zealand, for example, a recent review into the life insurance industry covered similar themes to the Royal Commission. In the United Kingdom, the government placed a 75-basis points cap on costs charged for default workplace pensions. And in Europe, a number of EU directives have been introduced to enhance privacy and consumer rights, including the General Data Protection Regulation (GDPR) and Mifid II
The rapid pace of regulatory and technological change has created a perfect storm for superannuation funds. Recognising that yesterday's way of working is limiting the ability of funds to respond to today's challenges, the marketplace is seeking a new, technologyled
approach that reimagines superannuation.
Specifically, a new hybrid operating model that allows funds to own their entire member journey, can deliver unprecedented control
over their data and operations. In the context of thriving in this new world of superannuation, this paper looks at the key benefits that funds will receive by leveraging a new technology-led business operating model.
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Link's retirement and superannuation solutions business took a hit in the first half of the year, as client losses and regulatory reforms impacted the segment.
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An activist group who met with $50 billion industry fund HESTA following a protest have revealed that several from their group were so disappointed with the outcome of the meeting that they're leaving the fund.
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Australia's superannuation funds are the worst offenders when it comes to meeting the needs of the over five million Australians who do not speak English at home, according to new research.
An ethical superannuation fund is set to cut its administration fee by 12 basis points as it looks to pass on scale benefits.
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HEAD OF INDUSTRY AND PUBLIC SECTOR FUNDS
MERCER (AUSTRALIA) PTY LTD
So far, Jo-Anne Bloch's career has seen her spend time across
each of super's thickly drawn lines. After speaking to the Mercer
head of industry and public sector, Harrison Worley writes about
the value of the lessons learned between each one.
Have submissions to the Retirement Income Review gone too far by urging the government to consider re-designing the system?