Super guarantee of 12pct a mistakeBY KERRIE SYDEE | TUESDAY, 4 OCT 2016 12:11PMAssuming that saving for retirement is synonymous with superannuation is a mistake according to the Grattan Institute. Related News |
Editor's Choice
Apostle taps former Platinum AM chief
Apostle Funds Management has appointed a new chief executive following the departure of managing director Mitchell Gunman earlier this year.
LRBA ban raises questions as new details emerge
New data indicates the impact of the LRBAs ban for SMSFs may have been underestimated, which will affect a market significantly larger than what officials suggested, with major implications for housing supply and competition in the mortgage market.
IFM acquires shopping centre portfolio for $300m
IFM Investors has acquired a shopping centre portfolio to be developed and built by Australian-owned developer-builder Oreana with a value of approximately $300 million, as it seeks to harness a surge in convenience-based shopping.
VanEck targets tech thematics with trifecta launch
VanEck is bringing three ETFs to life for local investors to access thematic investments across several emerging technology sectors, including what it says is "Australia's first dedicated quantum computing ETF."
Videos
Brought to you by ![]()
Further Reading
Products
Expert Feed
When geopolitics becomes a portfolio risk
Geopolitics is back - again - and Australian investors can no longer treat it as distant background noise.
Does association membership still matter?
With all the changes the advice sector has experienced in recent years, such as regulatory reform and increased education and professional standards ...
Digital assets and where they stand in 2026
So far in 2026 digital assets have captured the headlines largely for the wrong reasons, but that doesn't tell the full story.
Rethinking default design in a changing market environment
The evolution underway in the US DC system highlights the value of periodically reassessing default design assumptions.
Featured Profile
Hugh Killen
MANAGING DIRECTOR AND CHIEF EXECUTIVE OFFICER
AUSTRALIAN AGRICULTURAL COMPANY LIMITED
AUSTRALIAN AGRICULTURAL COMPANY LIMITED
For Hugh Killen, several life lessons came from spending time on pastoral properties stretching across northern New South Wales and South-West Queensland.
The Financial Standard podcast Tune in each week as we discuss the latest developments in Australia's wealth management industry. |  |
The conclusions drawn by the Grattan Institute in its recently released report How Households Save for Retirement are flawed.
The report is based on the Grattan Institute's analysis of four retirement income pillars.
And several of these retirement pillars do not reflect the real world of how people save for their retirement
The Grattan Institute has included the value of a person's home, their house contents and their vehicles in their retirement income pillars.
There are not many people who can say their house, their house contents or their vehicles are going to give them an income when they retire. So in the real world, I do not see how you can count the value of these as part of someone's retirement income pillars.
The Grattan Institute also includes in a person's wealth, a theoretical calculation for the net present value of any future pension they may get, which the government of the day may not even be able to afford to pay.
So once you remove these so called retirement income pillars, superannuation becomes a significant part of what is left.
So to make a policy decisions based on the view that superannuation is currently the least important part of Australia's retirement income system, is fraught with danger.