The Government’s decision to ask the Productivity Commission to develop the criteria to assess the efficiency and competitiveness of the superannuation system has been warmly welcomed by the SMSF Association.
This criteria will then be used to review a formal competitive process for allocating default fund members to retirement income products.
SMSFA Association CEO/Managing Director Andrea Slattery says: “We view this review process, which was recommended by the Financial System Inquiry, as an opportunity to ensure that our superannuation system continues to meet the needs of Australians.
“Although there is no doubt our superannuation system is robust, as evidenced by being ranked third in the world, it is important to continuously evaluate it and find ways to improve it.
“This is especially important for those who are least engaged with their superannuation and are placed in default funds by their employers.
“It is critical the superannuation system is efficient and best serves these members’ interests in growing their retirement savings by reducing fees and increasing returns.”
Slattery says the Association looks forward to contributing to the Productivity Commission’s review.
