The research, conducted by NMG Consulting, found making relatively simple decisions early in a person's working life, such as switching to a lower-fee or higher-growth superannuation option, can substantially increase retirement savings compared to remaining in a default MySuper product.

Among the findings, an individual who switches to a lower-fee investment option from age 30 could retire with up to $1.2 million from a default MySuper fund to a high-growth option at the same age could increase retirement savings by as much as $690,000.

The report also found MySuper members are typically underweight growth assets by 14% suggesting more than seven million Australians under the age of 50 may be structurally underexposed to growth investments, potentially reducing retirement balances by around $540,000.

FSC chief executive Blake Briggs said greater engagement with superannuation at key life stages could materially improve long-term financial outcomes.

"People engaging with their superannuation and making active choices at pivotal life stages, such as early career and retirement, can have a material impact on their financial future," Briggs said.

The findings comes as policymakers consider reforms following the Sheild and First Guardian collapses. While supporting targeted measures to address alleged misconduct, Briggs cautioned against changes that could inadvertently reduce consumer choice.

"Policy proposals that make it harder for Australians to exercise control over their superannuation will directly harm their financial wellbeing," he said.

The report also challenges the perception that platform products are inherently more expensive than MySuper, finding compact and mini wrap platforms can offer comparable fees, particularly for higher account balances.

NMG Consulting director Lachlan Reardon said consumers increasingly value investment flexibility and tailored solutions.

"Choice is a spectrum, and it's important that consumers have access to products that can be tailored to their individual risk appetite and retirement goals," Reardon said.

New research from Rest found 66% of employers anticipate meaningful changes to payroll, superannuation and onboarding processes as they prepare for the shift to paying super contributions at the same time as wages.

The survey of more than 1100 employers found 54% expect to modify their existing payroll or superannuation systems, while 27% plan to invest in new technology. A further 16% intend to automate super payments through accounting software or a clearing house.

While 94% of business said they were confident their systems could support the reforms, concerns remain around cashflow, compliance and administration.

Cashflow emerged as the most significant challenge, with 44% of employers expecting increased operational costs and cashflow impacts once the changes take effect. More than half (56%) said the reforms would have moderate or significant impact on cashflow management.

Rest chief member officer Simone Van Veen said the reforms would deliver meaningful benefits for workers while highlighting the importance of supporting employers through the transition.

"Payday Super is good for working Australians and Rest's more than 2.1 million members because it gives members greater visibility and confidence that contributions are being paid as expected, while supporting long-term retirement outcomes," Van Veen said.

"Rest has long advocated for this change," she said.

The report also found 37% of businesses were concerned about compliance obligations, while 35% citied additional administration requirements as a key challenge. Nearly one-third of employers already spend more than 11 hours each month managing superannuation obligations.

Rest said employer feedback has shaped its approach to helping businesses prepare for the reforms, including the launch of its clearing house solution Rest Pay.

"Our focus is on helping employers transition with confidence, without adding administrative burden, so they can stay focused on running their business and supporting their teams," Van Veen said.

The reforms will affect around one million employers and almost nine million employees, requiring superannuation contributions to be paid alongside wages rather than quarterly.

Full-time workers paying an extra 0.5 percentage points in fees each year can cost $77,000 by the time they reach retirement, Vanguard notes, calculating this to be equivalent to 12.5% of their total balance.

The modelling compared two hypothetical MySuper scenarios for a member aged 25 with a starting balance of $24,004 and starting salary of $83,200, retiring at age 67.

Both scenarios assumed a 6.4% nominal annual investment return, Superannuation Guarantee contributions of 12%, and standard tax and life insurance costs of $1733. The only difference was fees from one account charged 0.56% p.a. while the other charged 1.06% p.a.

With the average super fund charging around 0.9% p.a., Vanguard found members may overpay without realising the long-term impact.

Vanguard Australia chief of personal investor Renae Smith said rising inflation and cost-of-living pressures make it more important for retirement savings to work efficiently.

"Australians are careful about comparing mortgages, energy and insurance bills, but when it comes to super fees, it's still far too hard to work out what you're actually paying," Smith said

"Coming to the end of the financial year is an ideal time for people to engage with their super and take a close look at all the fees they are paying."

Rainmaker Information research showed superannuation fund fees fell for the sixth consecutive year. MySuper fees on average fell by 0.07% p.a. to 0.87% p.a.

Super fund members, including SMSFs, paid an aggregate of $34 billion in fees in FY25.

Smith added super funds can charge up to six different types of fees, including administration, investment, transaction, insurance and activity-based charges, leaving 60% of members confused by these costs and lack confidence in explaining them.

"Reviewing your super fees is one of the key steps you can take to improve your long-term outcome. But people don't find it easy to compare, because the industry doesn't make it easy," she said.

Newly released APRA statistics show MySuper's assets under management (AUM) reached $1.16 trillion, while Choice products had $1.48 trillion at the end of the period.

MySuper first hit the $1 trillion milestone in March 2024 and has grown the nest egg of default members by 16% since then.

Choice products had $1.23 trillion two years ago and have grown 21% over that time.

There are only 51 MySuper products in existence versus the number of Choice products at 664.

Currently, MySuper accounts have an average balance of $77,000, whereas Choice accumulation members have $142,000.

Together with defined benefit members, APRA calculates the three pillars have about $2.79 trillion in total member assets.

In terms of investments, Choice portfolios have a large proportion of member savings in multi-sector strategies, which came to about $992.24 billion. There is about $419.27 billion in single-sector strategies.

Many Choice members prefer cash and term deposits over equities or fixed income. Nearly $30 billion of their savings is sitting in cash accounts, while $11.33 billion is in term deposits.

Just over $24 billion is in direct share holdings and $201 million is in fixed income.

MySuper investment allocations, meanwhile, have more than 50% in listed equities, which is almost evenly split between global and local stocks.

Australian fixed income allocations come to 10.5% and the international portion is 5.1%. Infrastructure has an 11.3% allocation while unlisted property has 5.4%.

Industry super funds' invested assets doubled that of retail funds at $1.58 trillion and $861.9 billion respectively.

Industry super funds have the biggest amount invested in private debt at $19 billion while retail funds have $13.13 billion. Industry funds had $933.9 billion invested in equities while retail funds had $519.9 billion.

The report found more than one million Australians continue to miss out on superannuation because of gaps in the current system, including unpaid carers, gig workers, domestic workers and part time employees under the age of 18.

SMC estimates paying the 12% SG on the Carer Payment would deliver an average of $3072 a year in super contributions to around 334,000 unpaid carers while they are providing intensive care to a loved one. For a typical 45-year-old carer, the additional contributions and compound investment returns could translate to an extra $45,000 in retirement savings.

SMC said the issue disproportionately affects women, who account for more than 70% of recipients of the highly means-tested Carer Payment and are three times more likely than men to take on informal caregiving responsibilities.

"Australia's super system is meant to be universal, but today more than a million Australians are still missing out on the same guarantee as 17 million of their fellow Australians - simply because of their age, the work they do or who they are. That's just not fair," SMC chief executive Misha Schubert said.

Schubert said extending super to carers would recognise the economic value of unpaid care while helping address retirement inequality.

"Paying super on the Carer Payment would be a big step forward for fairness that recognises the economic value of care and would make a real difference - especially for women, who carry the bulk of caring responsibilities. It's a foundation stone to begin to tackle the carer poverty penalty," Schubert said.

The report also highlighted superannuation gaps affecting approximately 184,000 gig economy workers, 515,000 part-time workers under 18, and 37,000 domestic workers, most of whom are women.

Carers Australia chief executive Joanna Cave said reforms were becoming increasingly important as unpaid carers shoulder greater responsibilities.

"With the recent cuts to the NDIS, many carers will be providing more unpaid care. Any initiatives that can help carers in their retirement are welcome," Cave said.

When a pot of gold feels 'so far away' members tend to adopt a cavalier attitude and habitual disengagement and, instead, dismiss it in the 'too-hard basket' to prioritise more immediate, pressing life issues such as saving up for a house or investment property.

A Colmar Brunton (now Kantar) survey from 2010, for example, found only one third of employees chose their own super fund. Young people were also three times less interested in their personal superannuation affairs compared to older people. Only one-fifth of young Australians were interested in such matters compared to three-fifths (58%) of members aged 45 years or older.

Numerous surveys like this come to the same conclusion: the engagement gap is real.

A 2023 research paper from Melbourne University classified the engaged versus non-engaged as "insiders" and "outsiders" respectively.

Outsiders typically do not read statements or understand investment options and fees. They do not make efforts to calculate their retirement needs, like use online calculator tools and rarely make voluntary contributions.

Insiders, by contrast, are highly engaged across the aforementioned metrics, with voluntary contributions said to be   "arguably the most important indicator of engagement." Interestingly, this cohort was more preoccupied with their property investment compared to their super.

More recent pulse surveys, however, show the tide is shifting. After 34 years of a compulsory pension system and with $4.5 trillion at stake, it has taken a generation to start showing real interest.

Investment Trends' 2025 Super Member Engagement Report found member sentiment is strengthening thanks to trustees' intensified focus on communication and service beginning to translate into measurable gains.

Industry-wide Net Promoter Score (NPS) rose sharply, climbing 15 points from -19% in 2024 to -4% one year later. Member satisfaction also improved, edging up from 66% to 68%, with retail funds narrowing the gap on their industry fund counterparts, though the latter continues to lead on satisfaction overall.

The report also highlights the continued importance of advertising in driving engagement and growth.

Some 6% of existing members - equivalent to one million Australians - said advertising prompted them to think more about their super, while 5% of new members, or roughly 51,000 people, were influenced to open an account.

The results showed advertising is not just about visibility, but a way for funds to communicate their value, shape perception and drive action.

The outlay in advertising seems to be paying dividends. The uptick is evident in APRA tracking promotional-type expenses for the last financial year: super funds spent $339.9 million in total on marketing and advertising, jumping 21% from two years ago.

Sponsorship expenditure totalled $32.5 million, up 2% year on year. Compared to FY23, sponsorship expenditure went up by 11%.

Compared to four to five years ago, Investment Trends research director Julian Cappe says while member engagement has improved, overall, it is still quite low.

"One key issue with surveying engagement is self-selection. Those who respond to surveys are, by definition, the more engaged members. Any survey, in general, reflects the views of relatively engaged members rather than the very passive majority," he says.

"The good news, though, engagement is increasing. People are becoming more aware, and switching behaviour is rising."

Members' uptake on financial advice and SMSFs launching are also trending up.

"Fewer people are receiving financial advice than before, but those who do are more likely to switch funds. Advice is often sought at key life stages - mid-life or approaching retirement, which can trigger switching. Meanwhile, SMSF establishment rates are at record levels, which also reflects increased engagement," Cappe says.

Plugged in

Before moving to the superannuation industry, Brighter Super chief member officer Lisa Kay used to work in a bank, helping customers apply for home loans.

One piece of financial information the bank assessed was their superannuation balances, which Kay noticed was often larger than their deposits. Kay recalls that customers, at the time, rarely expressed engagement or interest in their super.

"People don't engage with super because it feels so far away. You can't picture your future-self, so it doesn't seem important. Then one day you wake up, roll everything together, and realise you've actually built a meaningful balance - and start asking, 'Why haven't I paid attention to this?'" Kay says.

Casting her mind back 10 to 15 years ago, Kay says the industry was not strong at engaging members and could be described as "sleepy".

"But that's changed now. Funds are far more engaged and recognise their responsibility to help members achieve a comfortable retirement," she says.

"Super funds have woken up to the responsibility that they are amazing conduits between the member and their retirement that looks comfortable and will deliver what they need."

As chief member officer, Kay oversees growth, marketing, stakeholder and corporate relations, and a group of about 1700 independent financial advisers.

Part of her job is centred on understanding member behaviour - when they're most likely to act and what prompts them to engage with their super.

"We've designed member journeys that include communication and advice pathways, ensuring we support members at the right time," she says.

"A big part of my role is feeding member insights back into product, operations and strategy, so we can continually improve what we offer."

Over the years, the role of chief member officer has taken more prominence in the executive ranks, taking responsibility for the end-to-end member experience, pushing for ways to help members engage and stay engaged with their super.

One key responsibility of the chief member officer is directly interacting with members - meeting them where they are at in their superannuation journey - and often travelling around the nation to understand their needs and challenges.

Simone Van Veen, the chief member officer at Rest, says her role is to be the voice of more than two million members.

"It's about understanding our members and ensuring the products and experiences we deliver are relevant, simple and easy for them to act on," she says.

"I feel incredibly fortunate in my role because it's fundamentally about understanding people and helping them build their best financial future."

Van Veen's team is responsible for ensuring members have a seamless experience across all touchpoints - whether that's digital services, communications, or accessing support whenever they need it.

"Engagement is much broader than advertising. It isn't one-size-fits-all - it means meeting members where they are," she says.

Nowadays, engagement ranges from the use of retirement calculators to scrolling through reels on social media channels like YouTube and Instagram.

Rest appears to have captured a young audience on TikTok with more than 12,000 followers. Some of its TikTok shorts have generated more than 4.5 million views.

"Many of our members engage through our Super Simple Chats on social media. These digital channels have been highly successful, with over 11 million views of short, bite-sized educational content designed to simplify complex topics," Van Veen says.

"Engagement is also about how we communicate and deliver services. We aim to remove friction, provide clear information, and offer both digital and human support. Some interactions are best handled digitally, while others require a human touch."

Kay sees financial literacy improving, particularly in the context of superannuation, with more parents imparting some of their wisdom in this space to educate their children. But more needs to be done.

"We need to think about how we could engage people at a younger age, or how can we teach more Australians about superannuation? It could start in the classroom, schools and universities," she says.

"Simple actions like salary sacrificing early can make a huge difference over time. It's about embedding good habits early, because the power of compounding can deliver significantly better outcomes in the long run.

"True engagement is when members move from awareness to action, such as attending a seminar, seeking advice and then implementing that advice. That's where we see real value."

Total improvement

ASIC's scathing review of the death benefit claims-handling process released in March 2025 found not one trustee tracked the life of a claim from start to finish.

Among the major trustees, ASIC uncovered excessive delays and poor service, gaps in trustee data and reporting, and inconsistencies in some trustees' processes and procedures.

Communication and engagement with beneficiaries were often "ineffective and insensitive". One super fund was accused of showing "zero compassion" to a family struggling to facilitate an insurance payout for a terminally ill loved one with weeks to live.

Cbus and AustralianSuper made headlines in this department. Cbus paid a nearly $24 million fine for the lengthy delay of death benefit payments. AustralianSuper was accused of sitting on death benefit claims that exceeded internal targets of four months.

ASIC unveiled its follow-up report in June, finding little to no meaningful improvements were made among 45 trustees. Two years on, trustees exhibited varying degrees of urgency in responding as most took steps to uplift their practices and are committed to taking further action, but others took no action at all.

ASIC commissioner Simone Constant said: "Unfortunately, despite complaint numbers and trends rising overall between 2020 and 2026, early findings indicate that five of the 10 trustees we are reviewing have not identified a single systemic issue from analysis of their complaints data over our review period."

"At least one trustee failed to analyse their complaints data at all. This is baffling, and frankly, unacceptable."

On a brighter note, internal complaints related to death benefit delays dropped by 53% from early 2024 to late 2025, while external dispute resolution complaints reduced by 72%.

"Fund members have a right to expect claims will be handled efficiently, honestly and fairly - this is an obligation for trustees under law," she said. "ASIC will consider the full range of regulatory tools at our disposal, including enforcement action, if trustees fail in this crucial obligation."

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Equity Trustees commenced a strategic review of its super business early this year.

It said this is part of a strategic repositioning to focus on its core corporate trustee services and trustee and wealth services businesses.

ASIC recently commenced a second proceeding in the Federal Court against ETSL, alleging failures in care, skill and diligence concerning the decision to allow members to invest in the First Guardian Master Fund.

The regulator first launched a proceeding against Eqity Trustees in August 2025, alleging failures in due diligence concerning the Shield Master Fund which oversaw around $160 million of retirement savings into Shield through its fund.

"The independent superannuation trustee model has been a driver of growth and innovation across the industry over the past decade," Equity Trustees managing director Mick O'Brien said.

"However, in the context of a shifting regulatory environment, higher operating costs and the evolving risk profile, EQT Holdings Limited concluded the business is better positioned to realise its full potential under alternative stewardship and it allows EQT Holdings Limited to prioritise investment in the areas of our business where we can drive the greatest shareholder value."

O'Brien said the decision will enable a more focused, simplified and lower risk operating model centred on the core businesses.

"We continue to see compelling long-term opportunity across our Corporate Trustee Services and Trustee and Wealth Services businesses, driven by favourable industry dynamics and the application of technology to enhance our service offering," he said.

Equity Trustees said the decision follows a strategic review of its super arm, which evaluated market dynamics, operating requirements, long term growth opportunities and shareholder value.

"The review also considered the shifting regulatory environment and evolving client needs, including two major superannuation clients currently exploring the option available to them to internalise trusteeship," it said.

A further update regarding the future of the super trustee services business is expected to be provided prior to the FY26 earnings announcement following consideration by the ETSL board.

The proposed exit of the business will result in it being classified as a "discontinued operation" in the full year financial statements of EQT Holdings Limited for the financial year ending June 2026.

With the sale of the super trustee services business, EQT expects to incur a one-off non-cash impairment charge of approximately $13 million in FY26.

The strategic review of the super trustee business, responses to regulatory notices and compliance with ETSL license conditions is expected to cost the business approximately $4.7 million in legal and advisory costs in the second half of FY26. Total expenditure on legal and advisory costs is expected to touch $6.3 million for FY26.

It also expects to incur approximately $2.2 million in legal and advisory costs in the second half of FY26 in relation to ASIC legal proceedings concerning the Shield and First Guardian Master Funds. Total expenditure on the litigation proceedings is expected to be approximately $3.2 million for FY26.

Analysis by the Super Members Council (SMC) of recently released Australian Taxation Office data found median super balances increased 5.5% overall during the year, reflecting the continued strength of Australia's compulsory retirement savings system.

However, the figures also reveal that women aged 60-64 continue to retire with substantially less super than men, prompting renewed calls for further policy reform.

Median balances for men in the pre-retirement age bracket rose 7.4% to $236,100, while women's balances increased 7% to $174,700. As a result, the gender super gap for Australian's aged 60-64 stands at 26%, up from 20.5% in 2016-17.

Nationally, women's median super balances remain 20% lower than men's despite women making additional voluntary contributions at a higher rate than men.

"Super balances are growing, which is great news for millions of Australian's retirement incomes, but women are still retiring tens of thousands of dollars behind men, and that gap must be fixed," SMC chief executive Misha Schubert said.

The disparity remains evident across every state and territory. The gap is narrowest in the ACT, where women's balances are equivalent to 94% of men's, while Western Australia recorded the wildest divide, with women's balances sitting at just 69% of men's.

Schubert welcomed recent reforms aimed at improving retirement outcomes for women, including Payday Super, the introduction of superannuation on paid parental leave and increases to the Low-Income Super Tax Offset.

"Crucial recent reforms like payday super laws, paying super on paid parental leave and boosting support for low-income working people have made big strides forward for women, but this data confirms that we need to fix the remaining gaps in super coverage, so no woman is left behind," she said.

The SMC is calling for additional measures, including extending compulsory super to all workers under 18, improving childcare and aged care access, and reforming superannuation splitting arrangements following divorce.

The council said the Super Guarantee reaching 12% is expected to further boost retirement balances, with a typical 30-year-old projected to retire with an additional $132,000 in super compared to a decade ago.

According to HESTA's research, based on a survey of 437 members in May 2026, more than half (58%) are not planning to take advantage of any super tax benefits before June 30, with many not clear on options available to them.

Although member activity typically surges in June, with data indicating prior years' voluntary contributions have quadrupled and spousal contributions have increased six-folded, as well as a 30% increase in salary sacrifice contributions, most don't take advantage of tax benefits during the period.

The survey revealed most understood the option to salary sacrifice (64%) or make a personal after-tax contribution into their super (70%), but awareness was well below 50% for all other options, including government co-contribution (37%), claiming a tax deduction (36%) and downsizer contributions (18%).

To encourage action, HESTA is declaring June 20 as 'Super Saturday', as the date coincides with tax time activity forecast to peak in the second last weekend of June.

The poll also indicated 57% said they would be more likely to take advantage of these options if they had simple assistance.

Commenting, HESTA chief executive Debby Blakey said the findings were a wake-up call for Australians to act this EOFY.

"We've launched Super Saturday as our research suggests people are more likely to act if they have access to simple guidance and encouragement. As the tax time window closes, we want more Australians to take the opportunity to put their financial futures first," Blakey said.

"Given cost-of-living pressures, top-up contributions will not be suitable for everyone, but there are other options and it's a great opportunity to check in on your super.

"Small steps can help, like seeing if you're eligible for the government co-contribution, consolidating old accounts or considering your retirement strategy."

APRA has laid out revised draft of prudential standard CPS 510 Governance, which ultimately seeks to raise expectations for boards and senior leadership teams.

The updated framework seeks to "reflect contemporary best practice, establish clear benchmarks" with several proposed changes.

APRA wants to streamline compliance by removing duplicative fit and proper reporting requirements, given that the Financial Accountability Regime is now in place. This is expected to eliminate the need to submit forms for some 6000 individuals.

The revised CPS 510 also aims to improve flexibility for boards by enabling them to delegate APRA's board requirements in other prudential standards, and by aligning governance requirements with other codes and regimes where appropriate.

APRA said the changes would also strengthen requirements for board governance, conflicts management and the fitness and propriety of directors and executives.

The consultation is open until August 28.

Submissions in response to the consultation and stakeholder meetings will inform the final standard and related guidance, which is set to be released later in the year.

APRA expects the new requirements to take effect from early 2028.

APRA chair John Lonsdale commented: "Strong governance is fundamental to the safety, resilience and performance of banks, insurers and super funds. Over a long period of time, APRA has observed that problems at our regulated entities can be frequently traced to poor oversight, unclear accountability or weak challenge."

"Alongside lifting expectations, we've sought to strike the right balance between safety and efficiency. In allowing boards more freedom to delegate lower value compliance matters and reducing reporting, our goal is to ensure boards have capacity to direct their attention to the issues of most importance."

This is the final phase of APRA's governance review. The first phase kicked off in March 2025, when APRA flagged the "poor practices" of super fund and insurance boards.

The proposed changes included strengthening board independence, especially in relation to entities that are part of a group and clarifying APRA's expectations around the roles of boards, the chair and senior management.

APRA's action came amid scrutiny of governance failings, including an independent review of Cbus, which found scant evidence of its relationship with the Construction, Forestry, and Maritime Employees Union (CFMEU) being in the best financial interests of members, while also finding it processes for determining the propriety of board directors to be lacking.

Recent roundtables hosted by APRA and ASIC heard the importance of how its System Risk Stress Tests (SRST) should be designed and the implications these will have on super funds and the broader financial system.

Super fund attendees, which included representation from NGS Super, Vision Super, Legal Super and Russell Investments, concurred that liquidity management is a key component of stress and systemic impact. The super fund chief executives also acknowledged that owning illiquid assets comes with several challenges.

While the SRST was not a test of solvency, the regulators said the discussions highlighted that the nature of liquidity pressure may change as the system matures and demographic shifts unfold, including the increasing proportion of members entering retirement.

"The operational resilience of material third party service providers was identified as a key amplifier in stress scenarios chief executives agreed that dependencies on third parties such as custodians, administrators, and payment, clearing and settlement systems were potential points of systemic vulnerability," they said, urging for stronger oversight of the service provider chains.

APRA and ASIC emphasised the need for trustees to strengthen their operational resilience to ensure critical services are delivered throughout the supply chain.

The stress test also highlighted the "ever-increasing scale, interconnectedness and importance of the superannuation sector in the Australian financial system."

While superannuation funds usually stabilise markets during stress but can sometimes amplify shocks, APRA said this depends on their response to liquidity pressures and market conditions.

Overall, the regulators have sharpened their focus on system-wide risk in superannuation, warning of growing interconnectedness and operational vulnerabilities.

Super funds, in response, suggested that future exercises may benefit from more targeted scenarios aimed at critical risks to improve the comparability of responses and that there was "general agreement on the value of stress testing for superannuation going forward."

Super funds also acknowledged the need to continue building capability and stress-testing maturity across the industry, particularly for complex and multi-dimensional crises.

Last year, APRA undertook its first SRST for superannuation funds as flagged in its System Risk Outlook report.

This is according to the Association of Superannuation Funds of Australia (ASFA), whose benchmarks have increased from prior estimates of $690,000 for couples and $595,000 for singles.

On an annual basis, ASFA calculates couples aged 65 and over now need $78,566 per year, while single homeowners require $55,923 to sustain their lifestyles.

However, ASFA's survey found 42% of Australians believe they will need more than $1 million in super to retire comfortably - well above the benchmark.

Expectations are particularly elevated among younger cohorts, with 51% of those aged 25 to 34 and 52% of 35 to 49-year-olds expecting to need at least $1 million.

ASFA chief executive Mary Delahunty said persistent inflation is impacting the cost of grocery, petrol, energy and other bills, reshaping perceptions of retirement adequacy.

"But the reality is that retirement generally costs less than working life. Retirees pay no tax on superannuation pension income after 60, most own their home outright, work-related costs disappear, and concessions reduce the price of energy, medicines, transport and council rates," she said.

Over the year to March, inflation rose 4.6% p.a. Electricity costs jumped 25.4% following the expiry of subsidies, while automotive fuel rose 24.2%. Food staples also climbed, with beef up 11.8%, and coffee and tea rising 10.7%.

Housing affordability continues to be a key factor driving higher perceived savings targets. Many younger Australians expect to carry housing costs into retirement, either through renting or mortgage repayments.

"Homeownership is an important aspect of dignity in retirement, alongside the financial security that comes from retirement savings. Addressing the housing affordability crisis, so that we start improving access to homeownership for younger generations of Australians, is a crucial public policy goal," Delahunty said.

Super Consumers Australia's (SCA) modelling found a financially comfortable retirement requires $432,000 in superannuation for couples and $322,000 for singles who are homeowners.

This was based on Australians owning their homes outright, and sought to determine how much Australians needed to sustain their desired standard of living until the age of 90, factoring in their entitlement to the Age Pension.

A single person homeowner will be able to save $322,000 by the age of 65 and ideally spend $1690 per fortnight or $44,000 per year during their retirement years. This also assumes that the Age Pension will fund about 67% of their retirement spending.

A couple, on the other hand, is forecast to spend about $2460 per fortnight or $64,000 annually during retirement and have $432,000 in their nest egg. Some 70% of expenses is assumed to be funded by the Age Pension.

Speaking in Sydney, managing director of wealth and advice Nicole Kennedy said many superannuation funds continue to rely on outdated processes, creating friction for members at critical life stages such as retirement, insurance claims and financial hardship applications.

"At some of the most critical points in people's lives, whether interacting with their super fund or seeking advice, the process is still so much harder than it should be" Kennedy said.

She noted while some funds describe themselves as digitally enabled, many still depend on paper forms, email attachments and manual processes. In some cases, rework rates on member requests can reach 70% resulting in delays and repeated interactions.

Kennedy said Bravura's technology has been built around a "zero-touch administration" model, with more than 99% of transactions processed without human intervention.

The company's focus on digital advice has emerged as a key growth area as regulators continue to push funds to improve retirement outcomes under the Retirement Income Covenant.

Michelle Lusty, head of Midwinter advice products, said leading funds are already seeing strong engagement with digital advice tools designed to provide personalised retirement guidance at scale.

"We're seeing leaders that are absolutely making huge strides forward in terms of their retirement and advice solutions, and momentum is really building," Lusty said.

She pointed to implementations at funds including AMP, Aware Super and Future Group, which allow members to model retirement outcomes, optimise contributions and assess income strategies through regulated digital advice journeys.

Lusty said digital advice should not be viewed as a replacement for comprehensive financial advice, but rather as a way to serve members who would otherwise receive no advice at all.

"The comparison is not to what an adviser can do," she said. "It's to members who wouldn't receive any advice at all."

Both executives said artificial intelligence would play an increasingly important role in improving member engagement and accessibility but warned that AI-generated guidance remains unreliable without robust governance, regulation and trusted data resources.

Ian Laughlin, serving as chair, works alongside joint managing director and chief executive Jayesh Bhana, and joint managing director and chief research officer Cary Helenius.

Laughlin said the new firm helps navigate the complexities of retirement income planning under the Retirement Income Covenant.

Cipher IQ centres on personalised online retirement-income modelling platform MyRI, which is designed to test, compare and manage income strategies over time.

The tool draws on more than 67 years of investment and inflation data to assess whether combinations of drawdowns, investment settings, Age Pension interactions and product overlays can deliver sustainable, CPI-linked income streams over 30 years or more. This starts from June 1959 and finishes in March 2026

Underpinning MyRI is ABCD IQ, a rules-based asset-liability management framework that aims to optimise income sustainability while managing sequencing, inflation and longevity risks.

Laughlin said the initiative was driven by the growing confusion retirees face in evaluating competing strategies and product claims.

"How does the average retiree know what is a sensible approach to follow? How can they tell what the actual benefits are, and if they are truly suited to their specific circumstances over a retirement period that could extend for 30 years or more," he said.

"I thought it would be useful to have a truly independent simple analysis tool that tests how well the different retirement solutions being proposed could actually work out in practice."

Laughlin served as deputy chair and a member of APRA between 2010 and 2015.

Bhana's background spans insurance, banking and superannuation, while Helenius, a veteran actuary and former investment banking executive.

Laughlin added: "We are looking to partner or engage with other like-minded individuals, superannuation funds and financial planners. Our aim is to democratise the benefits of MyRI, including testing a retirement plan, and comparing strategies, before committing and locking into any specific approach based solely on marketing, or unrealistic, simple projections that do not allow for real uncertainties in life."

ASIC's review of 45 trustees found varying degrees of urgency in response to its scathing review of death benefit claims handling processes released last year.

While most trustees reported taking steps to uplift their practices and are committed to taking further action, some demonstrated no urgency in responding at all.

"We're particularly concerned that some trustees have not actioned basic process improvements and continue exposing grieving beneficiaries to harm at times of heightened emotional and financial distress," ASIC commissioner Simone Constant commented.

"Unfortunately, despite complaint numbers and trends rising overall between 2020 and 2026, early findings indicate that five of the 10 trustees we are reviewing have not identified a single systemic issue from analysis of their complaints data over our review period.

"At least one trustee failed to analyse their complaints data at all. This is baffling, and frankly, unacceptable."

Released today, Report 831 Delivering on death benefits: Have super trustees stepped up? provides an update to ASIC's investigation into how trustees were taking or not taking ownership of their death benefit claims processes, the findings of which were released in March 2025.

On last year's report, Constant said at the time while some trustees demonstrated good handling practices and were providing helpful services to claimants, "systemic failures" by other trustees "exposed grieving Australians to added and unnecessary distress."

"Grieving Australians should not have to suffer further stress because of the failure of superannuation trustees to approach claims in a timely, clear, and respectful manner," Constant said.

"Trustees have not put in place meaningful performance objectives, tracking or reporting, and have failed to approach claims handling with consumers front of mind."

One trustee took over 500 days to pay a death benefit of around $100,000 to a First Nations woman who was grieving the loss of her husband.

Cbus and AustralianSuper were headliners in this department. Cbus paid a nearly $24 million fine for the lengthy delay of death benefit payments, while AustralianSuper sat on claims that exceeded internal targets of four months.

This time around, some trustees not only continue to refuse to take any ownership of death benefit claims practices but also their overall member service delivery.

"Holding superannuation trustees to account for member service failures continues to be one of our enforcement priorities. Where we identify non-compliance, we will consider the full range of regulatory tools available, including enforcement action," Constant warned.

On a positive note, the review found internal dispute resolutions (IDR) dropped by 53% in the number of complaints about death benefit claims handling delays from the beginning of 2024 to the end of 2025.

External dispute resolution (EDR) data also improved, with complaints about death benefit claims delays falling over 72% during the same period. But super-related complaints in general remain elevated.

"While these results are encouraging, complaints about superannuation remain high - trustees received over 200,000 IDR complaints in 2024-25. Over half of these complaints related to service issues, with delays in claim handling more broadly representing one of the top five services issues complained about," Report 831 said.

Where super funds can do better significantly is in improving timeframes for processing claims and effectively measure claims-handling performance.

While some have objective performance metrics for processing death benefit claims, what was "concerning" for ASIC is that others "failed to introduce basic metrics covering end-to-end claims handling times, even where they could track end-to-end times."

ASIC also wants trustees to do more to encourage members to make valid binding nominations and improve support for First Nations members and claimants.

For the next steps, ASIC is testing how well trustees use member complaints data to identify and address systemic issues and to improve service delivery.

From July 1, trustees and employers will not be able to promote super products at the point of hiring, with the aim of limiting undue influence on employees' fund choices under the Treasury Laws Amendment (Supporting Choice in Superannuation and Other Measures) Act 2026.

The restriction does not extend to general public advertising. Exceptions also apply to MySuper products that meet legislative criteria, employer default funds, and an employee's stapled fund.

The "MySuper product exception" will allow a person to advertise a MySuper product only, and not any broader features or Choice product options, even if these are available to a MySuper product holder within the fund.

Outlining its transitional approach to enforcing the ban, ASIC said it recognises that industry participants will need time to adjust processes and systems.

For the first 12 months, the regulator said it will adopt a "balanced approach".

"Any enforcement action will likely be directed at misconduct that is serious or reckless in nature and not where entities are making honest attempts to comply with the new requirements," the regulator said.

Treasury has framed the changes as a way to improve efficiency and reduce multiple accounts across the super system, believing that by enabling employers to obtain and present stapled fund information earlier, employees are better placed to retain existing accounts when starting new roles.

Also under the new laws, employers will be able to request stapled super fund details from the commissioner before, during or after issuing a standard choice form. Currently, the laws allow such requests after no fund has been nominated.

This amendment will enable more efficient onboarding processes as employers can retrieve stapled fund details and provide this information, if available, to the employee to inform their choice of fund, Treasury said.

"This will make it easier for employees to see, consider, and select their existing fund when they start a new job if they choose to do so. It will also reduce unintended duplicate accounts and give employers more timely and accurate details."

ASIC added further guidance will be provided once supporting regulations are finalised, including detail on disclosure and process requirements.

Separately, ASIC updated Regulatory Guide 234 Advertising financial products and services (including credit) following a consultation held from 27 November 2025 through to 22 January 2026.

The guide, which applies to any advertised financial products, financial advice services, credit products or credit services, outlines the legal obligations of not making false or misleading statements or engaging in misleading or deceptive conduct.

In the updated version, ASIC added its enforcement and regulatory action relevant to advertising conduct.

It also folded Regulatory Guide 53 The use of past performance in promotional material in RG234.

The reappointment followed an independent review and will see J.P. Morgan continuing to provide HESTA with custody and fund administration services, including the safekeeping of assets, fund accounting, valuation, tax and regulatory reporting, performance measurement, and middle office services, the super fund said.

The partnership has also supported the expansion of HESTA's in-house investment capability, with the fund now managing nearly 20% of its portfolio internally, it said.

Commenting, HESTA's outgoing chief executive Debby Blakey said the partnership renewal reflected the critical role J.P. Morgan plays in HESTA's operations.

"J.P. Morgan has been a trusted partner of HESTA for nearly three decades and its support has been integral to a significant period of investment growth and transformation for the fund," Blakey said.

"With more than $100 billion in member retirement savings and close to 20% of our investment portfolio managed internally... This longstanding partnership can support us as we strive to continue delivering strong, long-term returns for our members."

Meanwhile, J.P. Morgan head of securities services, ANZ Nadia Schiavon said: "As the superannuation industry evolves, we remain committed to helping HESTA navigate increasing change and complexity.

"We look forward to continuing our enduring partnership and to contributing to HESTA's ongoing success by delivering our global scale, tailored solutions, innovation, and local market expertise."

J.P. Morgan head of securities sales, ANZ Nick Paparo echoed Schiavon's sentiment.

"We value our long-standing relationship with HESTA and have worked closely to support the fund's evolving needs," Paparo said.

"This reappointment reflects the confidence HESTA has placed in us and underscores our leading capabilities and commitment to supporting our superannuation client community.

"We are excited and honoured to partner with HESTA in their next phase of growth."

Notably, according to the Australian Custodial Services Association, J.P. Morgan is the leading custodian in Australia with close to $1.5 trillion assets under custody as at December 2025. It is followed by State Street ($1.08 trillion), Citigroup ($1.06 trillion) and Northern Trust ($995 billion).

Out of the 221,623 complaints super funds received from individuals and couples, the highest number from complaints came from the 55 to 64 age cohort, accounting for 25% of the total complaints. This was followed by the 65 to 74 age cohort, accounting for 21% of the total complaints.

In its latest update, ASIC introduced a complainant demographics page, allowing users to explore complaint trends by age group, gender and location.

"These enhancements aim to improve the transparency, accessibility and usability of IDR data, supporting ASIC's objective to strengthen accountability and drive improved complaint handling across the financial system," the regulator said.

The number of complaints made by Australians to their super funds progressively goes up as they age, moving up from just 322 complaints made by individuals under the age of 18 to around 34,893 complaints made by individuals in their 40s and 50s.

This trend peaks with the 55 to 64 age cohort and then declines for older Australians, falling to around 15,042 complaints for individuals who are 75 and over.

Super funds provided a total monetary remedy of $12.1 million to members in 2025.

Complaints related to super accounts resulted in $5.8 million in remediation - with general service delay, delay in following instructions and service-related issues the top issues members faced.

Total and permanent disability (TPD) was the second highest reason super funds provided remediation at $2.9 million. The major issue in this category was that of delay in claims handling resulting in $1.9 million in remediation.

The research found 46% of Australians have never made voluntary contributions beyond their employers' compulsory payments, despite rules allowing eligible members to make additional concessional contributions and benefit from favourable tax treatment.

The findings come as the end of financial year approaches and as policy makers continue to focus on retirement adequacy through measures such as payday super reforms.

Vanguard client of personal investors Renae Smith said many Australians remain unaware of one of the system's more flexible features, the ability to carry forward unused concessional contribution caps from previous years.

"Many Australians assume that if they miss contributing to one year, that opportunity is lost. But the carry-forward rule means those missed contributions can potentially be used later, when people are better placed financially," Smith said.

Under current rules, individuals with a total superannuation balance below $500,000 can carry forward unused concessional contribution caps from the previous five financial years. For some members, this could increase their available concessional contribution limit to as much as $167,500 in 2025 to 2026, including the standard annual cap of $30,000.

The flexibility may be particularly valuable for workers with fluctuating incomes, career breaks or one-off financial windfalls, according to Vanguard.

"This is particularly relevant in the current environment, where household budgets are under pressure and income can be uneven. It can benefit those who take career breaks, receive bonuses or inheritances, or experience fluctuations in earnings over time," Smith said.

The findings also point to broader challenges around engagement with superannuation. Australians engage with their super fund less than once a year or cannot recall the last time they did, while more than one-third have never compared superannuation fees.

Smith warned unused contribution caps eventually expire, creating a limited window for members seeking to maximise their retirement savings.

"Still, it's important to remember that unused caps don't last forever. If you don't use it, you lose it. That makes understanding what you have available, and acting before it expires, critical," Smith said.

The Innovate RAP builds on the first one delivered in 2024 and is underpinned by partnerships with First Nations-led organisations, including First Nations Foundation.

"From our Reflect RAP, we learned more about First Nations cultures, built awareness across our organisation and established relationships with our industry partners," ART said.

In the next two years, the $370 billion super fund is aiming to deliver financial education designed for First Nations members, strengthen culturally informed member support and amplify First Nations voices through responsible investment stewardship,

It is also building a "culturally safe" and inclusive workplace, as it works towards a 2% First Nations workforce target.

The super fund noted that many of the Aboriginal and Torres Strait Islander members continue to face systemic barriers navigating the superannuation system, including the proof of identity, skills and knowledge in finance, usage of services, early access to super, and more.

ART chief investment officer Ian Patrick, who is also the sponsor of the plan, commented those are the gaps the super fund is trying to fill.

"It's about making sure we make a difference in their lives, in the communities that we serve and in making the system better overall for our members," Patrick said.

"Across our services and partnerships and the way we work, we're focused on improving financial outcomes for everyone and building long-term trust in the system. Our Innovate Reconciliation Action Plan is an important way that we can deploy our efforts to help deliver for our members."

Colosimo said US shares rose more than 5% in May, building on a 10% gain in April, while Australian shares gained less than 1%.

"US shares were up another 5% in May. That's very strong coming off the back of a 10% gain in April. But Australian shares were up just less than 1% in the month. It's really been an incredibly divergent performance in those last couple of months," Colosimo said.

"Australian shares, they're actually still 5% below their pre-war peak. You compare that to the US, shares there are at all-time highs and actually 8% above the pre-war peak. That rise in US shares was really relentless,"

The rally was underpinned by a stronger than expected US corporate reporting season, with first quarter earnings growth tracking at close to 29%, well above analysts' expectations.

"You really only see that sort of growth rebounding out of a recession when there's been depressed earnings," Colosimo said.

"But to see earnings growth so strong off what's an already high level, that's almost unprecedented."

Technology stocks remained the dominate force behind market gains, with the sector climbing nearly 16% during the month. Colosimo said earnings growth across the broader technology sector was approaching 60%, fuelled by surging demand for AI infrastructure.

"There's been a lot of scepticism over the years about the durability of the AI boom, but actual AI usage is now skyrocketing," Colosimo said.

The scale of investment is also accelerating combined capital expenditure from Amazon, Google, Microsoft and Meta is expected to reach US$715 billion this year.

"The markets really focussed on the shortage of compute rather than being worried about excess investment," Colosimo said.

While Australia has limited direct exposure to the AI trade, local mining companies benefited from demand for industrial metals required for data centres and chip manufacturing. BHP and Rio Tinto gained 16% and 11% respectively during May.

However, the Australian market faced headwinds elsewhere. Major banks fell between 4% and 7% following a disappointing reporting season, while several large cap companies including CSL, ASX and Brambles suffered sharp share price declines after earning downgrades.

"To me there are two other big themes in the Australian market... We did have bank reporting season early in the month, that was a bit disappointing. Then between rate hikes and those capital gains tax changes in the budget, they're both expected to weigh on bank earnings as we move forward," Colosimo said.

"The second one is that unlike in the US where analyst expectations of company earnings are still being upgraded, the earnings expectations for Australian companies in aggregate are now clearly in downgrade mode. We're seeing lower estimates for earnings. We did have quite a few big companies announce earnings downgrades during May."

Looking ahead, Colosimo said investors will be watching the expected June listing of SpaceX, which could become the largest initial public offering in history, as well as upcoming decisions from the Reserve Bank of Australia and the US Federal Reserve.

"I'm actually pretty confident [the RBA will] hold steady in June," he said. Colosimo noted there was some weak employment data with softer than expected inflation data, adding it may reduce the urgency for hikes.

In a submission to Treasurys consultation on CSLR reforms, the industry body said the scheme was established as a genuine last resort compensation mechanism and designed around the principle that sectors generating misconduct should fund the costs of compensation.

"This should be a fair, sustainable compensation scheme of genuine last resort that doesn't double-tax hardworking Australians in safe, well-regulated parts of the super system, not one that socialises the cost of financial misconduct to the nation's lowest-wage earners instead of holding the people responsible to account," SMC chief executive Misha Schubert said.

The submission comes as the CSLR faces mounting pressures from growing numbers of unpaid compensation claims linked to failed financial schemes. SMC noted the collapse of a single advice firm had already exceeded several years of the scheme's original actuarial costs forecasts, with claims related to the Sheild and First Guardian collapses yet to fully emerge.

The council criticised a proposed "levy waterfall" model that would spread costs across broader sections of the financial services industry once sectors directly responsible for losses reach their funding limits. It argued the approach risks creating moral hazards by reducing accountability for higher risk sectors.

SMC also raised concerns about proposals that would allow self-managed super funds (SMSFs) to opt in or out of the scheme while requiring members of mainstream super funds to contribute regardless.

"It would be deeply unjust for the government to compulsorily force millions of the nation's lowest-paid workers to pay a levy for this scheme they will never claim on but then give wealthier Australians with SMSFs a choice to opt in or opt out that no-one else gets," Schubert said.

SMC called for managed investment schemes to be included in the funding base, compensation payments to be limited to actual losses, and stronger consumer protection reforms to reduce future claims on the scheme.

"Prevention is always better than clean-up. Nothing short of large-scale consumer safety reforms that comprehensively lift the bar on consumer safety will stop continuous flooding of the scheme. Merely tinkering around the edges on safety will only lead to more Shield and First Guardian style collapses," Schubert said.

The third annual Rethinking Retirement report found 51% of Australians feel prepared for retirement, up on previous years, but more than half (54%) remain worried they will not have enough money to live comfortably.

Concerns about unexpected health and aged care costs were cited by 50% of respondents while 37% feared out living their superannuation savings.

The pressure is particularly pronounced among Australians aged 50 to 59 with 61% concerned about whether they have accumulated enough savings to support a comfortable retirement.

The research also highlighted a growing disconnect between retirement aspirations and financial reality. Australians would ideally like to retire at age 62 but expect they will need to continue working until 66 on average.

At the same time, the amount Australians believe is required for a comfortable retirement has surpassed $1 million for the first time, rising by $183,000 since the previous survey.

CFS Superannuation chief executive Kelly Power said retirement had become increasingly complex for many Australians.

"What this research makes clear is thar retirement today is no longer just a financial transition. For many Australians, it brings a range of questions and considerations - from whether savings will be enough, to how to navigate an increasingly complex system," Power said.

Women continue to face greater retirement anxiety than men. Nearly two-thirds (62%) of women worry they will not have enough money to live comfortably in retirement, compared with 48% of men.

Women were also more likely to be concerned about healthcare and aged care costs and the possibility of exhausting their retirement savings. Only 43% of women said they felt prepared for retirement, compared with 59% of men.

The report also reinforced the role of financial advice in improving retirement confidence. More than three-quarters (77%) of Australians who receive financial advice said they felt prepared for retirement, compared with just 45% of those without an adviser.

Power noted reducing barriers to advice would be critical to helping more Australians retire with confidence.

The mandate, coming from HESTA, forms part of Synthesis Capital's integrated investment strategy, aligned to a single venture development and investment pipeline.

The mandate is expected to accelerate the translation of Australian and Asia-Pacific health innovations into global markets, strengthening the region's position in a sector projected to exceed $210 billion (US$150bn) in the coming years, Synthesis Capital said.

The allocation comes as competition for differentiated venture exposure intensifies among institutional investors, particularly in sectors with global growth tailwinds, it said.

Commenting, HESTA deputy chief investment officer and head of portfolio management Jeff Brunton explained the mandate can provide opportunities that deliver positive returns for members.

"HESTA has a proud history of investing in healthcare and medtech as one of the largest Australian super funds dedicated to those working in health and community services, and we recognise the critical need for ongoing investment in early-stage technology," Brunton said.

"Our investment mandate with Synthesis Capital aims to help us deliver strong, long-term returns for members while supporting vital health innovation here in Australia."

Meanwhile, Synthesis Capital managing partner Vishaal Kishore added: "This is a significant step in connecting institutional capital to the earliest stages of health innovation."

"Australia has world-class research and clinical capability, but historically limited access to specialised venture capital at the point where deep technology ideas become companies. This mandate allows us to systematically bridge that gap.

"We are now seeing the emergence of a more complete system for innovation: where research, venture development and capital are integrated. Ultimately this enables companies to scale globally and will help to define the next phase of Australia's innovation economy."

Notably, the company is also progressing its Fund I, with a first close targeted for June, which will enable coordinated capital deployment across pre-seed through to Series A+.

Synthesis Capital has accelerated more than 150 health tech startups, supporting over $200 million in funding raised to date.

The new licence conditions centre on HTFS Nominees' weak, ill-defined and inconsistent investment option selection criteria.

APRA said there is inadequate due diligence conduct on new investment options, including poor documentation and conflict management, as well as ineffective monitoring and reporting frameworks around investment performance and risk.

HTFS Nominees' management of conflicts of interest is also questionable, with APRA saying it lacks key decision-makers who hold senior leadership positions within the parent or group, and governance arrangements lack an independent trustee voice.

Overall, APRA cast doubt over the trustee's assessment and oversight of member outcomes, including the implementation of controls to minimise potential harm to previously advised members.

The HUB24 Super Fund has some 165,000 member accounts with more than $55 billion in funds under management. However, parent company HUB24 is in the process of acquiring HTFS Nominees.

HTFS Nominees was appointed trustee of HUB24 Super in 2020, replacing Diversa Trustees.

Last December, said HUB24 said it intends to transition the role of the trustee for the HUB24 Super Fund into the HUB24 Group, subject to APRA and other regulatory approvals.

With respect to the takeover, APRA said: "The licence conditions will apply notwithstanding any change of ownership to HUB24 Limited, which may implement new investment governance and oversight practices for HTFS."

HTFS Nominees is one of EQT's two superannuation trustee entities. The other is Equity Trustees Superannuation Limited (ETSL), which is currently facing legal action from ASIC, accused of not doing enough to prevent superannuation members losing millions of dollars from the Shield Master Fund's collapse. In August 2025, ASIC took Equity Trustees to court over its alleged due diligence failures concerning the Shield Master Fund.

HUB24 has maintained it has never hosted the First Guardian or Shield master funds on its platform.

Effective May 29, HTFS must appoint an independent expert to review investment menus and governance frameworks, including conflicts and member outcomes.

It must develop and implement an uplift plan to identify gaps and assure APRA that issues are fixed and operating effectively to address such deficiencies.

HTFS must also conduct a further review of investment options under enhanced governance standards and determine each option's ongoing suitability.

There is now a pause on onboarding certain high-risk investment options unless an independent expert confirms adequate due diligence and an accountable person certifies the option is in members' best financial interests.

Equity Trustees is working through its own additional licence conditions slapped by APRA last December, raising similar concerns about its investment governance frameworks and practices, and just how rigorous it looks at options before it offers them to advisers and their clients.

Adding more to its troubles, ASIC announced last week it commenced civil penalty proceedings against ETSL, alleging failures in care, skill and diligence concerning the decision to allow members to invest in the First Guardian Master Fund.

On the latest action, APRA John Lonsdale said: "Alongside enforcement action, APRA is closely supervising other in-scope platform trustees where improvement is necessary. APRA will continue to oversee the delivery of required actions and will hold trustees to account where they fail to make timely and sustainable improvements to investment governance and member outcomes."

This is the fifth platform trustee that APRA has taken enforcement action against. In one enforceable undertaking, Netwealth agreed it has material weaknesses in its investment governance framework and practices.

Equity Trustees said independent trustees look after the interests of 990,000 members and has grown from approximately $10 billion to $150 billion in ten years.

"The professional independent trustee model has been the fastest growing segment of the superannuation market in the last ten years and has been responsible for material innovation in the industry," it says in the submission.

"The model has a solid record of delivering to members and has not suffered from the high-profile systemic failures that have been prevalent in the vertically integrated in-house models - both commercial models and not-for-profit models."

Equity Trustees said it strongly supports proposals by Treasury to reform managed investment schemes (MISs) and their responsible entities (REs), as well as the regulation of lead generators.

It said the most critical point of failure in the value chain regarding Shield Master Fund and First Guardian Master Fund were the two responsible entities.

"The misuse of scheme assets for purposes other than investment as disclosed to investors - as the liquidators' reports have revealed - is clearly fraud or theft causing loss to the superannuation funds and their members," Equity Trustees said.

"We welcome the reform of MISs and their REs that was the subject of Treasury's first consultation and ASIC's consultation in respect of the net tangible asset capital requirements for REs."

Equity Trustees added that the platform market has been the most responsive sector of the superannuation industry in providing services to members and meeting their personal objectives.

It said the platform market, together with the aligned SMSF market ($1.8 trillion FUM), offers products and services that are most closely aligned to the Retirement Income Covenant (RIC).

It said in its submission that recent licence conditions introduced by APRA on trustees of platforms will lead to some narrowing of investment choice on platforms.

"Equity Trustees contends that this APRA initiative alone is sufficient to ensure the continued efficient, fair and honest functioning of the superannuation platform market and that further regulatory changes are not required - the market is already the most fit for purpose superannuation market segment," it said.

In its submission, Equity Trustees argued it would not be feasible for the drafters of the legislation to precisely define between 'platforms' and 'RSE Licensee of platforms' given the offers provided by all superannuation funds are increasingly overlapping and will do so more in the future as more funds design offers demanded under the RIC.

This, it said, would especially benefit those investors who do not have the capacity to do their own research and due diligence for what are complex asset classes.

Morningstar added super funds have the benefit of long investment horizons, along with having positive, consistent member inflows, which better enable allocations to less liquid assets while still being able to effectively manage liquidity risk.

"Super funds are Australia's mega investors, and for them, investment in private assets is a well-established diversification strategy," Morningstar said.

It added there is also a strong appetite among large super funds to invest in private assets.

"We have seen super funds leverage their scale and participate in taking major infrastructure assets private, for example, Sydney Airport in 2022," Morningstar said.

"On the other hand, we have also seen cases where a major super fund leveraged its scale and expertise to defend against attempts to take publicly listed assets private where it believed they were mispriced."

Morningstar noted super funds typically have internal investment teams to access private markets expertise and gain exposure to newer areas of private markets. Super funds can also leverage their scale to engage top-tier managers and negotiate fees, helping to optimise net returns.

"When investing in private assets, super funds can leverage their institutional scale and expertise to negotiate co-investment allocations on reduced- or zero-fee terms (often referred to as 'no fee, no carry'), which is a vital mechanism for lowering the overall cost of their private investment portfolios," Morningstar said.

Overall, the super sector's allocation to unlisted assets averaged about 16.5% as of June 2025. Industry funds continue to maintain a materially higher allocation to unlisted assets than their retail fund counterparts.

Over the three years to June 2025, infrastructure allocation significantly increased for super funds, while private debt continued to gain traction and was the fastest-growing segment.

The industry fund said new research found almost one in three members recall being targeted by lead generation tactics over the past year, with younger tradies identified as a key demographic for operations using social media advertising, comparison surveys and algorithm driven targeting.

Cbus chief executive Kristian Fok said the activity represented a growing threat to confidence in superannuation system and should be outlawed.

"Compulsory superannuation is the envy of the world and utterly vital for everyday Australians to build a comfortable retirement, but that only works if they can have trust in the system" Fok said.

The fund said lead generators had emerged as a workaround following the post Banking Royal Commission ban on cold-call sales for super and financial advice. Operators instead rely on online mechanisms to harvest personal data and funnel consumers toward super switching and investment products.

Cbus argued the practice was contributing to consumer harm, pointing to the collapse of the Sheild and First Guardian funds, where more than 11,000 Australians collectively lost over $1 billion after many were persuaded to invest after clicking on lead generator advertising.

Fok said the activity often blurred the line between product promotion and legitimate financial advice.

"It's product-pushing masquerading as genuine financial advice," he said.

The fund has lodged a submission to the federal government's consultation on curbing lead generation activity, calling for both a ban on superannuation lead generation and restrictions on purchasing consumer leads linked to retirement saving products.

Cbus also called for stronger regulatory intervention powers, warning many Australians remain unable to distinguish between legitimate super products and high-risk or misleading offerings.

The renewed push comes amid heightened regulatory scrutiny across the advice and superannuation sectors following several high-profile investment collapses and ongoing concerns around consumer protection.

Split across the sectors it regulates, APRA apportioned $81.2 million to superannuation funds.

Treasury said trustees continue to operate in a heightened risk environment with increasing cyber, operational, and geopolitical risks, whilst also facing significant competition and consolidation.

With this amount, APRA will focus its efforts on trustees improving platforms and investment governance.

"Rectification and uplift requirements continue for deficient platform trustees. There also is a case to consider changes to prudential settings for this sector of the market e.g. to strengthen conflicts management," the discussion paper read.

Targeting unnecessary spending, the levy will also be used for "intense scrutiny of fund-level expenditure to hold RSE licensees accountable for improving practices, reducing spending that is deemed not in members' best financial interests and promoting the financial interests of their members."

APRA's work will also cover retirement outcomes. Following the release of the Retirement Income Covenant pulse survey findings in November 2025, APRA said it is working with ASIC to provide individual feedback to trustees over the coming weeks.

Work is also underway to design the data collection to support the government's Retirement Reporting Framework, which "will substantially improve transparency on the retirement phase."

For the other sectors, authorised deposit-taking institutions (ADI) have the lion's share of the levy of $114.6 million. Life insurance and friendly societies are allocated $19.1 million. General and private health insurance have $27.2 million and $10 million respectively.

The Australian Taxation Office's (ATO) portion comes to $41.6 million, up 11.8% annually, while the Gateway Network Governance Body's funding levy of $1.4 million was steady. The superannuation consumer advocate body's levy was also flat at $1 million.

For all Commonwealth agencies, the total levy comes to $297.3 million for the period, marking a 5.2% year-on-year increase.

Treasury is seeking feedback on its estimates outlined in the Proposed financial institutions supervisory levies discussion paper until June 14.

The super fund announced the partnership with Bravura's Midwinter to bring in digital advice September last year, which is now available for Future Super members to improve member experience and retirement outcomes.

The first phase of the rollout focuses on pre-retirement advice and provides access to retirement projections based on members' circumstances, Future Group said.

Members can also explore contribution and accumulation strategies, aligned investment options with their preferences and risk appetite, receive real-time guidance and complete the process through a self-service digital experience.

They will receive a digitally generated Statement of Advice, as member details are pre-populated within the advice journey to reduce friction and simplify the process.

For Future Group, the model is designed to support its internal advice team, as the fund continues to invite members to book in with its advice specialists for personal advice and one-on-one support.

Commenting, Future Group general manager partnerships and advice Rosh Singappuli explained the offering will improve member outcomes.

"We've had a collaborative approach from the outset, allowing us to focus on a clear and collective vision: how we guide our members to a sustainable retirement, while also considering their individual circumstances and goals," Singappuli said.

Midwinter head of advice products Michelle Lusty said the partnership reflected a shared focus on improving retirement outcomes and putting members first.

"The energy and drive from the Future Group team to stay true to their values and deliver better retirement outcomes to their members has been inspiring," she said.

Bravura also said AMP and other super funds have ramped up Midwinter-based initiatives to support members with more accessible, real-time financial advice.

Speaking at the Queensland Futures Institute Finance Summit, chief executive Kate Farrar said the fund had already committed to $225 million under the strategy, which was launched to direct more members' retirement savings back into the Queensland economy by 2029.

Farrar said Queensland's population growth, infrastructure pipeline and expanding innovation economy were creating attractive long-term investment opportunities, particularly ahead of the 2032 Summer Olympics.

The strategy builds on more than $1 billion already invested in the state and reflects the fund's focus on supporting local economic growth while delivering returns for members.

Brighter Super, which manages $37 billion on behalf of more than 340,000 members, said it is now the third largest non-government financial institution headquartered in Queensland.

"We have seen a decline in locally headquartered financial capability, raising an important question about who will continue backing Queensland into the future," Farrar said.

The fund's investments to date include a $100 million allocation to Queensland industrial and logistics real estate assets through Barings, focused on southeast Queensland and regional hubs.

It also committed $75 million to the Queensland Regional Agriculture and Food Trust managed by Riparian, targeting regional producers, water assets and agricultural and infrastructure.

Another $50 million partnership with QIC is backing high-growth Queensland businesses across advanced manufacturing, agtech, aerospace and technology.

The QIC portfolio includes investments in Queensland based companies including Gilmour, Space Technologies, SwarmFarm Robotics, Future Maintenance Technologies and ProcurePro.

Farrar said future investment would continue to be assessed against the same return, risk and cost hurdles applied across the broader portfolio.

Under the arrangement, UniSuper members will be able to create a legally valid Will through Safewill at no additional cost as part of their membership.

The online platform guides users through a step-by-step process to document how they want their assets distributed, appoint executors and nominate guardians for children or pets. Once completed, members receive instructions on how to print, sign and witness the documents to make it legally valid.

Safewill chief executive Adam Lubofksy said the partnership was designed to make estate planning more accessible and less intimidating for Australians.

"It's a common perception that the process of creating a Will is complicated, but in reality, it can be quick and straightforward," Lubofksy said.

The initiative also aims to improve member understanding of how superannuation is treated within estate planning arrangements, particularly the role beneficiary nominations play in determining how super death benefits are distributed.

Lubofksy noted Australians mistakenly assume their Will automatically covers their superannuation, despite super benefits generally being governed separately through fund nominations.

The partnership comes as digital estate planning tools gain traction across the financial services sector amid growing focus on retirement preparedness and the intergenerational wealth transfer.

Members with more complex estate planning needs can access additional legal advice through Safewill Legal for a $199 fee.

Safewill said the platform uses encryption and privacy practices compliant with the Australian Privacy Act to protect member information, while completed Wills are reviewed by affiliated legal professionals before execution.

The platform also allows users to notify executors and other trusted contracts that a Will has been created and where it is stored.

UniSuper members can access the services through a dedicated partnership portal, with the process typically taking between 15 and 20 minutes to complete.

FICA's membership now spans nine industry associations across banking, investments and broader financial services, with ASFA's inclusions bringing Australia's $4.5 trillion superannuation sector directly into cross sector policy discussions.

ASFA chief executive Mary Delahunty said superannuation has become a central pillar of Australian financial system and needed representation in policy debates affected the wider sector.

"With over $4.5 trillion in assets under management and 18 million Australians with an account, superannuation is one of the cornerstones of Australia's financial system," Delahunty said.

"It's important that the sector has a seat at the table when issues that cut across the system are being discussed," she said.

Delahunty noted current priorities included the Compensation Scheme of Last Resort, scam and fraud protections, and regulatory simplification with ASFA aiming to ensure superannuation perspectives are reflected as the policy agenda evolves.

The move comes as policymakers increasingly examine interconnected risks across the financial system, particularly around consumer protection retirement adequacy, regulation and digital fraud.

FICA chair Andrew Hall said ASFA's inclusion would strengthen the organisation's ability to deliver coordinated policy advice to government across the financial services landscape.

"Superannuation is integral to Australia's financial system, and its inclusion in FICA strengthens our ability to provide government with cohesive, whole-of-system policy advice spanning banking, insurance, investment and retirement," Hall said.

The addition of ASFA also reflected the growing policy significance of the superannuation sector as retirement savings pools continue to expand and super funds play an increasingly influential role across capital markets, infrastructure investment and financial systems.

According to the 2026 Super Insights report, which analysed 2025 financial year data from APRA, funds are already redesigning processes, strengthening governance and investing in front-office capability.

This comes off the back of Treasury and the financial services ministry floating new mandatory minimum service standards for all large APRA-regulated superannuation funds in early 2025, forced to take action on widespread administration and back-office practices.

One high profile example is Cbus paying a nearly $24 million fine for the lengthy delay of death benefit payments.

The government now wants all super funds to step up and force the timely and compassionate handling of death benefits, fair and efficient processing of insurance claims, and clear, respectful and accessible communications with members.

The government also expects them to have better documentation and audit trails, carry out mandatory processes replacing discretionary practices. The first tranche of the standards is set to go live in July 2028.

KPMG's report showed super funds are implementing clearer accountability for service outcomes, improved performance measurement and better oversight of third-party providers, like administration and group insurance partners.

To improve member experience, over the next two years, super funds said they will concentrate on shifting from incremental digital enhancements to strengthening the underlying member experience architecture and operational disciplines that support scalable, consistent service delivery.

KPMG said experience initiatives should be embedded as levers to influence measurable member flows like early-stage intervention, consolidation completion and advice engagement and claim quality.

"Regulators are sharpening their enforcement focus on member servicing and in response funds are investing heavily in digital capability to meet member expectations," KPMG superannuation advisory lead Lisa Butler-Beatty said.

"Funds will need to deepen retirement engagement, improve guidance and communication, and continue evolving product and servicing models to support members' transition from accumulation to income, while meeting higher expectations for transparency, support and value."

In the 12 months to FY25, the average operating cost per member went from $237 to $250 across all funds, excluding SMFS.

Average operating cost on an asset basis declined from 0.23% to 0.22% thanks to strong growth in assets under management (AUM).

Super funds with AUM over $50 billion reported average cost per member of $232, up from $217 year on year. Those between $10 billion and $50 billion in AUM charged $389, up from $375.

KPMG noted "transformational activities and administration transitions are occurring in the industry" and as such have contributed to increased operating costs on a per member basis in FY25.

Members in Fiducian's Portfolio Services pay the highest amount of more than $2200, while FES Super members fork out $1727. BT, Netwealth and Macquarie superannuation members pay nearly $1000.

For MySuper fund members, administration fees charged on a $50,000 balance remained stable at 0.26%.

Industry funds continue to charge the lowest amount for default products at 0.23% while retail funds charge more at 0.35%.

For both the High Growth and Sustainable High Growth options, UniSuper has diverted concentration towards cash and fixed interest, allocating a 5% holding into cash and fixed interest from the zero-exposure prior.

The High Growth option has also reduced holdings in Australian (40% to 38%) and international shares (52% to 51%), while the Sustainable High Growth option increased international shares exposure (56% to 57%) but reduced domestic equities drastically (38% to 34%).

Meanwhile, the super fund also changed the investment strategy for Global Companies in Asia option with the addition of developed and emerging Asian economies.

"To invest in a portfolio of global securities (including but not limited to international shares) which may include Australian shares and securities that seeks to take advantage of the expected growth in Asian economies by investing in well-established global companies," the super fund said.

Its approach to screening for the Australina Bond and Australian Income investment options has also been updated to exclude companies with any reported revenue from the production of tobacco, manufacture of nicotine alternatives and tobacco-based products, excluding the supply of key products necessary for the manufacture of tobacco or nicotine products.

Meanwhile, effective July 1, UniSuper's negative screens will allow the portion of reported revenue a company may derive from conventional weapons systems and components to be up to 5%, instead of up to 1% currently, for the Sustainable Balanced, Sustainable High Growth, and Global Environmental Opportunities options.

The negative screen will also no longer consider reported revenue derived from weapon support systems (for example, software and/or telecommunication systems and services).

"As at the date of this 'Important product changes' notice all other negative screens are unchanged across these three sustainable and environmental branded investment options," UniSuper said.

"UniSuper continues to screen companies with any reported revenue from the manufacture of whole weapon systems or components developed for exclusive use of controversial and/or nuclear weapons."

UniSuper will also halve its asset-based administration fee for the Flexi Pension retirement product for more than 42,000 retired members, who will pay a fee of 0.08% from the current rate of 0.16%. Announced in April, the reduction in the fee was calculated see a typical member to be $5000 better off in retirement, UniSuper said.

In the case of a member opting-in for income protection, premium rates are decreasing on average by 16.6% for all members.

However, if a member holds insurance cover through their ART accounts, a new insurance fees of 7% of insurance premium will start applying.

"This fee is included in your insurance premium amount and is only charged to members who have insurance to help cover the cost of administering the insurance arrangements you have in the fund," ART said.

The $370 billion super fund will also change its TPD Assist benefits starting the new financial year.

If a member's 'date of disablement' is on or after July 1, the number of payments will be brought down from six to four and they will be able to a take larger portion of the initial payment, rising from 25% to 40%. The subsequent three payments will be paid out at 20% each.

If the sum insured is less than $25,000, members will be able to access a lump sum payment as well.

ART said it is making standard cover rules "simpler and easier to understand" by starting member's automatic cover for death and TPD after they turn 25 and when their super balance reaches $6000 or more.

Starting July 1, ART is also reducing its weekly administration fee from $1.20 to $1.10. Over one year, this represents a reduction of $5.20 in fees.

Additionally, ART is updating its risk labels on investments. It's high growth option will now move from the 'high' risk label to 'medium to high'. Balance risk-adjusted will move from 'medium to high' to 'medium' label and Australian share index will move from 'very high' to 'high' label.

It will update its performance benchmarks, with Australian shares now being benchmarked against the S&P total return index.

ART is also updating its allocation strategies for its accounts. For its high growth option, ART is reducing its strategic allocation to Australian shares by 1% and increasing allocation in international shares by 0.75% and unlisted assets and alternatives category by 0.5%. It will increase its fixed income allocation by 0.75% and reduce cash holdings by 1%.

Assistant treasurer and minister for financial services Daniel Mulino said the Treasury Laws Amendment (The Survivors Law) Bill 2026 closes a loophole that previously enabled perpetrators to shield assets inside superannuation accounts.

Under the reforms, victim survivors can apply for a court order to access additional personal or salary sacrifice super contributions made by an offender if compensation remains unpaid for more than 12 months.

Victims will also be able to apply to the Australian Taxation Office to identify eligible super balances before seeking access, with safeguards built into the process.

The legislation further amends the Bankruptcy Act 1966, so compensation debts linked to child sexual abuse convictions survive bankruptcy proceedings.

The reforms apply not only to future compensation orders but also historical unpaid orders that remain legally enforceable.

The law received bipartisan support and has been strongly backed by the superannuation sector, which said the changes reinforce the integrity of the retirement savings system.

Association of Superannuation Funds of Australia (ASFA) chief executive Mary Delahunty said convicted perpetrators would no longer be able to "misuse the super system to put themselves beyond the reach of justice.".

ASFA said it worked with Treasury during consultation and advocated for stronger powers allowing regulators to secure offenders' super assets before notification, preventing funds from being moved out of reach.

Meanwhile, Super Members Council chief executive Misha Schubert described the reforms as a "huge stride forward" for survivors.

"Super should never be used as a loophole for criminals to dodge accountability," Schubert said.

The legislation follows months of consultation and broader government efforts to prevent superannuation laws being exploited in cases involving abuse and family violence.

In a decision published on 16 May 2026, Justice Mount said parts of the Guardians' Statement of Investment Policies, Standards & Procedures and its Sustainable Investment Framework were "materially less clear and specific than the previous iterations" and "framed in such general terms as to provide no practical benchmark for those applying them in relation to alleged breaches of human rights standards."

Guardians general manager of corporate affairs Cristina Billett said Guardians accepted that its policies need more specificity and would be amending them accordingly.

"Our mandate requires us to manage the Super Fund in a manner consistent with, among other things, avoiding prejudice to New Zealand's reputation as a responsible member of the world community, and our investment policies are designed to ensure we achieve that objective," Billett said.

"We accept Justice Mount's finding that it is important we not only adhere to and comply with our sustainable investment policies, but that the standards and procedures underlying those policies must be identified more clearly in our policy documents.

With that in mind, we are now working on how we can reformulate those documents to ensure they satisfy that condition."

Billett said the court decision focused on the way the Guardians' policy documents described the Guardians' sustainable investment decision-making processes.

NZ Super said updates to the policy documents in recent years had not, however, materially changed the Guardians' actual engagement and exclusion practices.

The policy changes come after New Zealand's High Court ruled against the nation's super fund in April, finding some of its policies are "unreasonable and unlawful" in regards to how it treats companies accused of human rights breaches.

The Palestine Solidarity Network Aotearoa (PSNA) issued judicial review proceedings against NZ Super Fund for its failure to divest from Israeli companies that have been deemed by the United Nations to be complicit in the Israeli occupation of Occupied Palestinian Territory (OTP). It asked the High Court to review the fund's policies in relation to ethical investments.

The complaint related to holdings in Airbnb, Booking.com, Expedia, and Motorola. Collectively, NZ Super has about $155 million of its $75 billion invested in them.

The PSNA had been calling for NZ Super to divest the companies for some time prior to filing for judicial review, having had success against the fund in 2021 when it divested five Israeli banks due to risks they were materially contributing to human rights breaches.

In a judgment released this morning, the High Court found: "The Guardian's policies fail to meet the basic requirements of the Act (New Zealand Superannuation and Retirement Income Act 2001) so far as exclusion from the fund for alleged breach of human rights standards is concerned. They are unreasonable and unlawful."

About 85,000 TelstraSuper members have now joined Aware Super via a Successor Fund Transfer (SFT) to create a superannuation fund with approximately 1.3 million members and over $235 billion in funds under management.

The two funds first announced plans to explore a merger in July last year, signed a Heads of Agreement in October and executed the SFT on April 30.

"This merger is a significant achievement in the history of Aware Super and TelstraSuper and enables members to benefit from the deep retirement and advice capabilities of both organisations, greater scale and enhanced member outcomes," Aware Super chief executive Deanne Stewart said.

"Remarkably, it has been achieved in only nine months which speaks to the alignment of values and strong execution capabilities of both organisations.

"We are thrilled to welcome TelstraSuper members to Aware Super and excited at the opportunities ahead to help them achieve their best possible retirement."

Stewart also thanked the board of TelstraSuper, the executives and broader team for helping to make the merger a success.

"Our sincere thanks to the TelstraSuper board, executive and broader team for their dedication to their members and making the merger a success," she said.

"We're pleased to see the merger successfully completed, and proud that TelstraSuper has joined with the right partner to support our members' long-term best interests. Aware Super shares our deep commitment to members and is well placed to continue delivering strong retirement outcomes," former TelstraSuper chief executive Chris Davies said.

"Congratulations to everyone involved across both organisations for their hard work and unwavering focus on supporting our members - now and into the future."

Aware said it will continue a period of heightened support and additional resourcing over the coming weeks to ensure member questions and requests are responded to promptly.

The issue was raised publicly by financial planner Matt Marsh of PlanPlus Wealth Advisers, who said the alleged misreporting could have significant tax consequences for his client, including the risk of breaching contribution caps.

According to Marsh, the fund reported contributions under his client's name despite there being no existing account or relationship. He said attempts to resolve the issue have been ongoing for several months, with the fund requesting authority documentation while also indicating it could not locate a corresponding member record.

The discrepancy raised concerns about data accuracy and reporting processes, particularly given the reliance on superannuation data for tax assessments and contribution limits.

Marsh said the situation could materially impact his client's ability to claim a tax deduction, with looming deadlines adding urgency to the matter.

In response on social media, Rest acknowledged the issue and encouraged a formal complaints process noting standard resolution timeframes can extend up to 45 business days, with more complex matters taking longer.

However, Marsh indicated a complaint had already been lodged months earlier, expressing frustration at the timeline and calling for a faster resolution.

In a statement to Financial Standard, Rest said it could not comment on individual matters due to privacy obligations.

"Our members and the public rightly expect the highest standard of service. If we do not meet these expectations, our complaints management process aims to treat any concerns seriously and address them fairly and promptly," the fund said.

An ATO spokesperson said APRA-regulated super funds are expected to treat member reporting data as a "core regulatory obligation", including maintaining strong internal governance, actively monitoring data quality and ensuring timely remediation where issues are identified.

The spokesperson said the ATO'S amendments protocol outlines expectations for funds managing and correcting contribution reporting errors, while APRA oversees the acceptance of contributions by regulated super funds.

The ATO noted super funds may be required to submit suspicious matter reports to AUSTRAC where there are reasonable grounds to suspect identity issues or potential financial crime related activity

On complaints handling, the spokesperson said responsibility for superannuation member complaints sits with ASIC, APRA and the Australian Financial Complaints Authority (AFCA).

The ATO declined to comment on the specific case due to taxpayer confidentiality obligations.

The case also highlights the growing operational pressures facing super funds as administration, payroll and tax reporting systems become increasingly interconnected. With contribution data flowing directly between employers, funds and the ATO, even isolated discrepancies can carry significant consequences for members' tax positions and retirement savings. As the industry prepares for payday super reforms from July 2026, scrutiny around data governance, complaint handling and the speed at which reporting errors is corrected is likely to intensify.

The two parties helped raised $15 million via a Series B round in the hope of scaling the platform which uses artificial intelligence (AI) to provide construction teams visibility on subcontracting workflows.

Global construction company Bouygues and existing investors AirTree and Glitch Capital were also part of the fundraise.

The platform consolidates fragmented processes, whereby uses can compare, select, approve and contract with vendors. The money will be spent on building ProcurePro's technology and expanding across the UK, Middle East and will soon set up an office in the US. It currently has presence in Brisbane, London and Dubai.

Brighter Super chief executive Kate Farrar said: "Not only do its fundamentals stack up but, as part of our Queensland Investment Strategy, ProcurePro also supports jobs, strengthens local communities and aims to deliver long-term value for our members."

"Queensland's continued population growth and the massive 2032 Olympics juggernaut will provide great local opportunities for ProcurePro, but this additional funding will help ProcurePro catch a global wave of AI-enabled opportunities across construction industries in the US, UK and beyond."

ProcurePro founder and chief executive Alastair Blenkin said construction firms are still managing their most critical commercial decisions and millions in spend via out-of-date and untrustworthy spreadsheets.

"The lack of true oversight delays risk identification which ultimately erodes margins. We built ProcurePro to bring structure, control and certainty to the commercial cockpit of construction firms.

What makes this even more powerful is the data. After years of supporting procurement across thousands of projects, we now have a rich foundation of real-world procurement data," he said.

QIC Ventures investment director Nick Capell commented procurement sits upstream of most construction spend yet remains highly manual and weakly governed.

"It's a globally relevant problem that remains unsolved. Alastair and the ProcurePro team are addressing this pain point head on by embedding directly into the workflow where cost, risk and compliance decisions are made," Capell said.

Brighter Super and QIC recently backed Future Maintenance Technologies (FMT) in a Series A raise.

The deals are part of the $50 million mandate QIC won from Brighter Super last year to help drive investments in Queensland-based, high-growth businesses.

Under current rules, employees under 18 are only entitled to compulsory Superannuation Guarantee contributions if they work more than 30 hours a week for an employer.

Rest general manager of public policy and advocacy Enrico Burgio said the bipartisan support marked a significant turning point in efforts to modernise the system.

He said the existing rule disproportionately disadvantages younger workers during the earliest years of employment, limiting the long-term benefits of compound investment returns.

"Because of an outdated requirement to work 30 hours per week, most under-18 workers are missing out on compulsory super contributions. It's time for this to change," Burgio said.

"This rule is getting in the way of our young Rest members building a fairer and more equitable retirement. Our analysis has shown that scrapping the rule could add thousands to their retirement balances.

"We wholeheartedly welcome this strong cross-parliamentary support for paying superannuation on every dollar earned and extending the Superannuation Guarantee to all under-18 workers. We urge the Government to now outline a plan to implement this change."

Rest analysis found a typical 15-year-old member could accumulate an additional $3400 in super by the age of 18 if the threshold was removed, potentially translating to around $18,100 more by retirement in today's dollars. Similar meaningful increases are projected for 16- and 17-year-old workers

The push to extend super coverage for younger workers forms part of a broader policy debate around equity within the retirement system. As industry groups and policymakers increasingly scrutinise gaps affecting women, low-income earners and casual employees.

Momentum behind the proposal also reflects wider efforts to align superannuation settings with contemporary workforce participation, particularly as younger as Australians enter employment earlier and often across multiple jobs.

This follows a commitment by both governments on an investment partnership to further unlock superannuation and pension capital investment between the countries.

The memorandum of understanding (MoU) was signed by UK Chancellor of the Exchequer Rachel Reeves and Australian Treasurer Jim Chalmers on the sidelines of the G20. in Washington DC.

A number of Australian super funds and investors, including IFM Investors, AustralianSuper, Australian Retirement Trust, Aware Super and Rest have offices in London and have steadily grown their presence in the UK over time.

Aware Super chief investment officer Simon Warner said its presence in the UK reflects its conviction in UK's long-duration and high-quality assets.

"The Supers Unit is a welcome initiative as it recognises the growing scale of Australian superannuation capital and will make it easier to deploy that capital into projects that deliver for both our members and the communities in which we invest," Warner said.

IFM Investors Head of Global External Relations David Whiteley said the UK is a natural partner for Australian funds and it will continue to work closely with the UK Government so Australian workers' retirement savings can help get quality projects off the ground.

"It's a familiar market with a deep pipeline in the energy transition and essential infrastructure, and sophisticated pensions system," Whiteley said.

UK has highlighted key projects in clean energy, infrastructure, housing and innovation as priority areas for investment.

UK minister for investment Lord Stockwood said in an unstable world, Britain is providing stability that international businesses need in the long term.

"The UK is a thriving business hub, and our Supers Unit will pave the way for vital investment into key UK projects, helping to deliver long-term economic growth while boosting our already strong trade relationship with Australia," Stockwood said.

HESTA chief executive Debby Blakey also welcomed efforts to reduce barriers to investment and build stronger networks between the two markets.

"Initiatives like this can support further investment in areas such as the digital and energy transitions where HESTA has a strong focus," Blakey said.

Super Members Council chief executive Misha Schubert added: "As Australia's super system grows, global diversification will play an even bigger role in delivering strong, stable returns for everyday Australians."

"Partnerships like this help unlock high-quality investment pipelines, while ensuring Australian retirement savings are positioned to benefit from long-term global growth," Schubert said.

legalsuper has appointed chief financial officer Michael Gogorosis as interim chief executive as the fund continues its search for a permanent replacement at the top.

This comes after legalsuper bid farewell to its chief executive Luke Symons, who announced in March he would take on the role of chief of Equip Super, effective July 1.

The fund has also named former CareSuper executive Paul Northey as chief member officer, strengthening its senior leadership team.

legalsuper chair Kirsten Mander said Gogorosis has played a key role in the funds operational and financial progress since joining in late 2023, positioning him well to lead the organisation during the transition period.

She pointed to his involvement in membership initiatives and broader strategic developments, alongside the fund's recent investment outcomes.

The leadership reshuffle comes as legalsuper continues to position itself as a specialist industry fund focused on the legal community while competing in a growing consolidated superannuation sector.

Earlier this year, the fund also refreshed its board, appointing Moira Saville and Joel Tucker as directors following the departure of long-serving board members Mary Mcken and Richard Flitcroft.

Meanwhile, Northey brings experience across superannuation, banking, insurance and member organisations, having previously held senior roles at CareSuper, RACV, ING and Aviva Australia.

His appointment reflects a strong pattern growing amongst funds with the importance upon member engagement, retention and services as competition intensifies across the retirement saving sector.

The fund said its MySuper Balanced option returned 12.56% for the 2024 to 2025 financial year, placing it among the strongest performing offerings in SuperRatings' annual rankings.

In its latest report on the state of New Zealand's economy, the OECD said the nation's ageing population is putting increasing pressure on its fiscal deficit and, without reforms, public debt will rise towards 200% of its gross domestic product.

As a result, it recommended New Zealand implement a combined public and private pension and NZ Super Fund reform under which public pension eligibility would be linked to life expectancy, with consideration for ethnic and occupational differences.

The OECD said linking the eligibility age to life expectancy "would enhance intergenerational fairness, ensuring that as people live longer on average, the ratio of retirement to work years is more constant across generations, which is key to maintaining both sustainability and adequacy in public pension systems."

However, it noted New Zealand's situation is complex given significant differences in life expectancy across ethnicities, "meaning a simple increase in the public pension age could have regressive effects, particularly for Māori and Pasifika, who on average have shorter life expectancy."

It said public pension reforms would therefore need to include redistribution and protection for vulnerable groups to avoid inequitable outcomes, while enhanced support for older workers in physically demanding roles should also be offered, including stronger health and employment programmes, and transitional arrangements for groups expecting to receive the public pension for a shorter period.

It also wants to see means testing introduced and tax reforms to increase private pension accumulation.

In terms of tax reforms, the OECD suggested changes to the way in which retirement savings are taxed.

As it stands, money directed into a KiwiSaver account is taxed before it goes in. The earnings on the KiwiSaver account are also taxed. However, drawdowns are not taxed.

The OECD has suggested New Zealand align its taxation of retirement savings to other nations and not taxing the money on the way in or while it's in the account. This would help boost private pension accumulation and ensure higher NZ Super Fund contributions.

"Implementing reforms as a cohesive package is essential to achieving fiscal sustainability while delivering high standards of retirement income and doing so in a way that mitigates potential adverse effects on household saving incentives and ensuring fairness across generations, genders, and income groups," the OECD said.

Treasury acknowledges the industry's concerns super funds are constraining their investment universe and staving off allocating to assets outside the mainstream to ultimately pass the test or reduce underperformance.

Much of its new consultation centres on benchmarking reforms, suggesting the introduction of a new emerging asset class benchmark and the provision of a suitable benchmark for alternatives assets.

Venture capital, renewable energy projects and social and affordable housing, for example, are poorly represented in the benchmarks.

Another option is to assess total portfolio risk-adjusted returns using a simple reference portfolio. "This represents a departure from the current approach, which assesses investment performance relative to a strategic asset allocation benchmark portfolio," Treasury said.

"A simple reference portfolio would assess total portfolio returns against a risk-adjusted benchmark. This places greater emphasis on the quality of trustee investment decisions, such as strategic asset allocation, diversification, and other value-adding activities. By contrast, the current test does not explicitly account for risk in its assessment of investment returns."

The third option is to regularly review the benchmarks. A routine review ensures the benchmarks remain fit for purpose and align with the test's objectives, Treasury said, as this will also reflect structural changes in the markets.

Treasury is also proposing to extend the test to more superannuation products.

The test currently applies to some 560 products or 62% member benefits in APRA-regulated funds. Retirement products, for example, are outside the test's scope.

Expanding the test for diversified externally directed products in the accumulation phase - the majority of which are on platforms - is a possibility. Single- or multi-manager products, and separately managed accounts fall into this category.

Treasury is taking submissions in response to its consultation paper Strengthening the superannuation performance test until June 19.

APRA estimates a further 7500 products across 37 superannuation entities could be roped in.

Since it was introduced in 2021 and until last year, 108 of the 123 products that failed the test have been extinguished.

Financial Services Council Blake Briggs said: "A CPI + X benchmark for a limited portion of portfolios would provide funds with greater flexibility to invest in alternative assets that align with Australia's national priorities, with the continued safeguard of the best financial interests duty."

He is concerned, however, that a simple reference portfolio approach could water down the test if it reduces accountability for superannuation funds.

"Applying an investment performance and fees test to externally directed products, where consumers make decisions with professional advice, and to retirement products, where outcomes depend on individual retirement circumstances and needs, is not comparable to how the test is used for MySuper products," he said.

The Association of Superannuation Funds of Australia chief executive Mary Delahunty said the performance test "has done a great job" but it is now time to modernise it and to deal with some unintended consequences and make it stronger.

"The current test measures super fund performance against a fixed set of benchmarks. While it has successfully removed underperforming funds from the market, it has made some investments look artificially less attractive than they really are in a long-term context like super," she said.
Treasury's review of the test in 2022 proved these "unintended consequences" to be the case.

The following year, in response to fixing such issues, Treasury extended the test period from eight to 10 years to encourage longer-term investment decision, calibrated benchmarks so trustees were not unintentionally discouraged from investing in certain assets. It also extended the test to trustee-directed products.

Further tinkering in 2024 launched a consultation to refine the existing investment metric, consider alternative metrics and multi-metric frameworks to capture different dimensions of performance.

The new consultation builds on the outcomes of the government's 2025 Economic Reform Roundtable, which promised reforms to the test.

Treasurer Jim Chalmers said opportunities to modernise and strengthen the performance test can provide strong protections in light of the collapse of Shield and First Guardian.

Super Members Council chief executive Misha Schubert said the fact that tens of thousands of Australians have been exposed to products like the collapsed Shield and First Guardian, which weren't subject to the performance test despite being able to receive compulsory super contributions, "shows why closing these gaps is both urgent and essential."

Schubert also highlighted the need to strengthen the integrity of the test by fixing fee gaming risks.

Under the current settings, administration fees are assessed over the most recent 12 months, compared to a 10-year horizon for investment performance, opening the door to tactical gaming that can mask the fact that a super product is delivering poor returns, she said.

As at December 2025, the option represented less than 0.08% of total funds under management, Vision Super said, adding the trustee regularly reviews investment options to ensure they remain cost-effective, promote member outcomes and are appropriate for members.

"While our Diversified Bonds investment option has been available for a long period, member appetite for this option has been low relative to our other investment options," the super fund told members.

"The trustee considers the Cash investment option to be an appropriate replacement investment strategy for the Diversified Bonds option, taking into account its return and risk profile."

Portfolio holdings at the end of 2025 show that Amundi Singapore is the external fund manager overseeing the vast majority of the Diversified Bonds' assets.

Half of the Diversified Bonds option tracks the Bloomberg Ausbond Composite All Maturities Bond Index, while the other half tracks the 50% Bloomberg Global Treasury Index (hedged in AUD).

The Diversified Bonds option aimed to outperform its benchmarks over rolling five-year periods.

It targeted members who want greater stability of return and lower medium-term returns than the Balanced Growth option.

The Cash option on the other hand aims to outperform the Bloomberg Ausbond Bank Bill Index over rolling three-year periods.

The option will officially close on June 4.

Members who do not actively change to another option will automatically be invested in the Cash option on that date.

Vision Super recently appointed Jonathan Stagg as its new head of unlisted assets.

Stagg came from Zenith Investment Partners, which he joined in November 2023 as part of the real assets research team. He was also at Industry Superannuation Property Trust and Frontier Advisers.

The fund is urging the federal government to consider introducing superannuation "carer credits", which are payments designed to offset the impact of unpaid care on retirement balances.

Rest general manager of public policy and advocacy Enrico Burgio said the current system fails to properly recognise unpaid care as a form of economic contribution.

"Our superannuation system continues to treat unpaid care as time away rather than time given," Burgio said.

"Interrupted work patterns, reduced hours and periods of unpaid caring work are among the strongest contributors to the gender super gap."

The data shows the gap emerges early and widens during peak caregiving years. Among members aged 25 to 40, women receive significantly lower annual contributions than men, reflecting lower incomes and more frequent part-time work.

This trend is echoed nationally, with Rest adding it's members reflect a broader, systemic issue across Australia, with Australian women retiring with 26% less super than men.

Rest said around two thirds of surveyed members backed government intervention to compensate for lost super during periods of unpaid care, with support even higher among women.

While recent policy changes, including paying super on government funded parental leave have been welcomed, industry groups argue more comprehensive reform is needed.

Rest said extending support through carer credit models would help close the gap by recognising unpaid care as economically valuable, rather than penalising it.

With women more likely to work part-time and take career breaks, the fund warned without further change, the financial impact of caregiving will continue to follow women well into retirement.

New analysis from Super Members Council (SMC) found one in four workers were underpaid super between 2018 and 2023, equating to almost $6 billion a year being lost in retirement savings.

State-by-state data highlights the uneven impact of unpaid super across the country. While New South Wales recorded the highest total shortfall, other large states also saw significant losses, including Victoria and Queensland where underpayments averaged between $1660 and $1700 per worker annually. Western Australia tracked slightly higher at around $1410 respectively.

The ACT and Northern Territory stood out for higher per-person losses, exceeding $2100 a year, pointing to sharper impacts despite smaller populations.

SMC estimates a worker underpaid $1730 in a single year could be more than $30,000 worse off at retirement due to lost investment returns over time.

Women, younger employees and low-income earners are disproportionately affected. Workers earning under $25,000 a year are among the most exposed, with around half missing out on super entitlements.

The Payday Super reforms, coming in July 1, will require employers to pay super at the same time as wages, replacing the quarterly system. The change is expected to improve transparency and make it easier to detect underpayments early.

The Australian Taxation Office is expected to take a transitional approach to enforcement in the first year, focusing on supporting employers adjusting to the new system.

SMC chief executive Misha Schubert said unpaid super acts as a "silent pay cut" that compounds over time.

"This is money Australians have earned but never been paid - and it's leaving millions significantly poorer at retirement," says Schubert.

Industry groups say stronger compliance and real-time payment systems will be key to closing the gap and ensuring workers receive their full entitlements.

Default cover premiums will increase between $0.19 cents and $10.24 per week.

There will also be a 12% increase for some income protection categories, the first rise in five years.

Cbus said a typical member - 30 years old and working in a manual occupation - will see their default cover increase from $590 per year to $857 per year.

Media Super members - whose separate insurance product is a much smaller pool of about 29,000 members - will see an increase of between $1.03 and $1.30 per week for default Death and TPD cover and increase of between $3.40 to $6.37 per week for default Income Protection cover.

Cbus said in the past two years there has been a 50% rise in claims, driven mainly by growth in musculoskeletal, injury and mental health claims.

A Cbus spokesperson told Financial Standard the super fund understands that members are facing significant cost pressures.

"We understand our members are facing cost-of-living pressures, and rising insurance costs across the industry are contributing to that pressure," the spokesperson said.

"Across all super funds and insurers, claims are rising and so are costs, but Cbus members know if they make a claim in a time of need, we will be there for them."

Cbus said over the course of three years, it has paid out more than $1.1 billion, including 96% of TPD claims and 99% of death claims.

"As access to other forms of support has tightened more members are turning to the insurance in super as a critical financial safety net," the spokesperson said.

"Our insurance reflects the real risks our members face at work - including for high-risk roles common in construction."

Cbus is not the only fund to have increased insurance premiums as a result of increased claims.

In April, Financial Standard reported members of Commonwealth Super Corporation's Public Sector Superannuation Accumulation Plan (PSSap) were also facing a rise.

From May 1, the premiums for Total and Permanent Disablement (TPD) cover rose a 43.5%.

In a statement to Financial Standard at the time, a CSC spokesperson said the superannuation sector as a whole is seeing an increase in TPD claims, driven by a rise in mental health conditions.

"In response to this, working with our insurer, AIA, CSC has implemented a mix of premium changes which includes an increase to TPD and five-year income protection premiums," the spokesperson said.

Additionally, a similar increase is to be rolled out for AustralianSuper's insured members.

On average, members within the AustralianSuper plan, Super Options and Personal Plan will pay 40% more for TPD cover from June 1.

In FY25, AustralianSuper paid out $272.3 million across 2821 TPD claims. The year before, it paid 2690 claims to the tune of $276.8 million.

US Treasury Secretary Scott Bessent said the government designed a plan "that's something pretty close or in the direction of the Australian system."

However, Trump said his plan would be "better".

"I promised to make the same types of retirement accounts enjoyed by federal employees available to all Americans, and that's what we're doing. Nobody thought that was possible," Trump said while speaking to reporters.

"This will be really revolutionary because they'll be covered."

Under the "TrumpIRA" plan, the government will contribute up to $1000 per year to eligible lower- and middle-income workers who contribute to qualifying retirement accounts, through the Saver's Match program.

The scheme will be operational by 1 January 2027.

"President Trump wants to give American workers - particularly independent contractors, part-time workers, small business employees, and self-employed individuals - more investment options in order to attain stronger and more financially secure retirement outcomes," the White House said.

"Roughly 41 million American workers between ages 18 and 65 lack access to any employer-provided retirement plan, and 49 million full-time workers and 14 million part-time workers do not receive an employer match to their retirement savings contributions."

The White House said a 25-year-old low-income worker who saves around $165 per month and qualifies for the Saver's Match of around $1000 per year could, at a 6% rate of return, end up with around $465,000 by the age of 65, with nearly $155,000 attributable to the Saver's Match.

"Hardworking Americans deserve retirement security in portable savings vehicles that offer access to low-cost investments similar to those offered to federal workers," the White House said.

"Over half of low-income federal employees already successfully utilise the federal retirement-savings program and over 50% more participate when there is a matching contribution from their employer."