MySuper lifecycle options not for everyone: AusSuperBY JAMES FERNYHOUGH | TUESDAY, 21 JAN 2014 12:15PMMySuper lifecycle products are not the best option for super funds whose members have lower balances, according to AustralianSuper investment manager Alistair Barker. Related News |
Editor's Choice
Aware Super hires head of corporate development
The $175 billion superannuation fund welcomed its first head of corporate development as it looks to be a "merger partner of choice" in the industry.
Link Group rebrands as acquisition completes
Link Group announced its new name ahead of delisting from the ASX at today's market close.
Crescent Capital sells down ClearView stake
ClearView has been alerted that Crescent Capital wishes to sell a major share in the company.
Social media influencers charged for promoting shady investments
Reality TV stars from shows like Love Island, Geordie Shore, and The Only Way Is Essex are due to face Court for pushing unauthorised investment schemes on their followers.
Products
Featured Profile
Matt Gaden
HEAD OF AUSTRALIA
JANUS HENDERSON INVESTORS (AUSTRALIA) LIMITED
JANUS HENDERSON INVESTORS (AUSTRALIA) LIMITED
Helping investors traverse financial markets and build their wealth during the peaks and troughs is Janus Henderson Investors head of Australia Matt Gaden's game plan. He tells Karren Vergara why in this long game of investing, active management wins.
It appears that two of the biggest guns in the industry are really dancing the same tune. Out with a one size fits all approach and in with a trustee tailored super default.
How do trustees separate default members using factors beyond just age, so that Barker's low retirement balance/age pensioner members are on a 'growth' glide path for longer and his Self Funded Retirees a more conservative path? Holzberger's approach of using current balance, as he points out, only partly does the trick, particularly for younger members. Even if they have similar balances now, different wages, hence contributions, up to retirement will lead to different retirement prospects. Surely retirement balances should be projected as a factor, along with age, to set lifecycle criteria.
It appears as though the biggest potential benefits of the MySuper changes are yet to come.