The worst performing super funds have been announced after the Australian Prudential Regulation Authority (APRA) assessed 76 Super products based on performance over the last seven years. Whilst many passed the test, 13 big name funds failed.
As a result, more than one million Australians will be receiving a letter from their own super fund prompting them to switch to a fund that will be able to deliver and outlining their lack of performance. This letter will be mandatory for the 13 funds that underperformed.
So, which Super Funds failed?
- AMG Super — AMG MySuper
- ASGARD Independence Plan Division Two — ASGARD Employee MySuper
- Australian Catholic Superannuation and Retirement Fund — LifetimeOne
- AvSuper Fund — AvSuper Growth (MySuper)
- BOC Gases Superannuation Fund — BOC MySuper
- Christian Super — My Ethical Super
- Colonial First State FirstChoice Superannuation Trust
- Commonwealth Bank Group Super — Accumulate Plus Balanced
- Energy Industries Superannuation Scheme-Pool A — Balanced (MySuper)
- Labour Union Co-Operative Retirement Fund — MySuper Balanced
- Maritime Super — MySuper Investment Option
- Retirement Wrap — BT Super MySuper
- The Victorian Independent Schools Superannuation Fund — VISSF Balanced Option (MySuper Product)
Source: YourSuper comparison tool
Managing over 700,000 super accounts, Colonial First State FirstChoice Superannuation and BT Super were the largest funds to fail the test. However, it won’t just be them who will have to face up to their discrepancies.
All 13 funds that were unable to deliver to their members, must write to their members before the 27th of September informing them of their poor performance. In this letter, they must also provide a report on the reasons for their underperformance and solutions for how they plan to fix it.
With that said, experts believe that these funds will eventually have to close shop or merge as pressure to perform from members increases and members opt to switch to funds that are able to achieve desired results.
What to do if you belong to one of the worst-performing Super Funds?
If you’ve found yourself belonging to one of the worst-performing super funds, don’t fret or worry too much yet. Fortunately for you, switching over to have your super managed elsewhere is not overly complicated. In fact, it’s a fairly simple process that our team at Mintwell can help you with.
If you’d like to check out how Mintwell Superannuation has performed please contact our advisors. Our efforts to ensure our client’s superannuation performs is one of the reasons people are choosing us to manage their super. As always, Mintwell strives to operate based on the values of transparency, integrity, and passion- values we know allow our clients to succeed and ultimately, grow their wealth.
To find out more about how we can help you switch your super fund account, please get in touch with us. We’ll be happy to give you a call to discuss the process of switching over your super.Speak to Our Advisor