Super news and reports
Letters to trustees
ASIC issues letters to trustees to guide and assist the industry to meet the regulatory requirements relevant to the superannuation industry.
Roundtables
Roundtables are a joint initiative of ASIC and APRA to engage with top executives of a cross-section of superannuation funds.
Media releases
12 November 2024 – ASIC sues Cbus alleging systemic claims handling failures
More than 10,000 members and claimants of the Construction and Building Unions Superannuation Fund (Cbus) were impacted by death benefits and total and permanent disability (TPD) insurance claims taking more than 90 days to be processed, according to allegations contained in documents lodged by ASIC in the Federal Court.
18 September 2024 – ASIC’s urges businesses to prepare for mandatory climate reporting
From 1 January 2025, many large Australian businesses will need to prepare annual sustainability reports containing mandatory climate-related financial disclosures, following passage of a major Bill through Parliament.
18 September 2024 – ASIC’s proceedings against Rest alleging misleading member representations are dismissed
The Federal Court has dismissed ASIC’s case against superannuation trustee, Rest, for allegedly making misleading representations about limitations on members’ rights to transfer superannuation funds out of the Retail Employees Superannuation Trust between March 2015 and May 2018.
2 August 2024 – ASIC’s first greenwashing case results in landmark $11.3 million penalty for Mercer
The Federal Court has ordered Mercer Superannuation (Australia) Limited to pay a $11.3 million penalty after it admitted it made misleading statements about the sustainable nature and characteristics of some of its superannuation investment options.
11 July 2024 – ASIC and APRA issue final rules and information for the Financial Accountability Regime
ASIC and APRA have published new information to help insurers and superannuation trustees prepare for the commencement of the Financial Accountability Regime (FAR). The FAR already applies to the banking industry, and takes effect for the insurance and superannuation industries from 15 March 2025.
2 July 2024 – Super trustees urged to strengthen oversight of retirement strategy implementation
ASIC and APRA are calling on superannuation trustees to boost efforts to track and measure the impact of their strategies to improve retirement outcomes for members.
5 June 2024 – Court finds Active Super made misleading ESG claims in a greenwashing action brought by ASIC
The Federal Court has found LGSS Pty Limited, as trustee of the superannuation fund Active Super, contravened the law in connection with various misleading representations concerning its environmental, social and governance (ESG) credentials.
9 May 2024 – ASIC calls on super trustees to improve gatekeeping of member savings
ASIC is calling on trustees to renew efforts to protect members from unscrupulous operators amid evidence of inadequate oversight of advice fee deductions.
21 February 2024 – ASIC calls on industry to improve oversight of Choice super performance and address issues
ASIC has called out the risk to retirement outcomes for Australians holding their super in persistently underperforming options, and calls on trustees, financial advisers and advice licensees to focus on the performance of Choice investment options.
29 November 2023 – OnePath Custodians penalised $5 million for fees for no service misconduct
The Federal Court has ordered OnePath Custodians Pty Ltd to pay a penalty for making false or misleading representations about its right to continue charging fees, and for failing to provide services to members efficiently, honestly and fairly due to its misleading conduct and by deducting fees when not entitled to do so.
10 November 2023 – HESTA trustee pays infringement notices for misleading marketing
ASIC has taken action against H.E.S.T. Australia Limited (HESTA), the trustee of HESTA superannuation fund, for alleged false or misleading statements made in their marketing material.
Reports
REP 784 Industry update: Pulse check on retirement income covenant implementation
Released 2 July 2024. This update summarises the responses to a voluntary survey issued by ASIC and APRA in November 2023. The survey gathered information on the self-assessments undertaken by RSE licensees on their progress and planned improvements since Report 766 Implementation of the retirement income covenant: Findings from the APRA and ASIC thematic review (REP 766).
REP 781 Review of superannuation trustee practices: Protecting members from harmful advice charges
Released 9 May 2024. This report provides insights into the extent to which superannuation trustees are acting to protect members’ superannuation balances from erosion by inappropriate advice charges. It summarises the findings of ASIC’s review of trustee progress in this area following earlier guidance from ASIC and APRA.
REP 779 Superannuation and choice products: What focus is there on performance?
Released 21 February 2024. This report examines the role of trustees, financial advisers and AFS licensees in influencing the investment options that make up member super portfolios as part of a choice super product.
Released 18 July 2023. This information report sets out the findings of a recent thematic review of the implementation of the Retirement Income Covenant by a sample of RSE licensees. The review was undertaken jointly by ASIC and APRA.
REP 760 Insurance in superannuation: Industry progress on delivering better outcomes for members
Released 22 March 2023. This report examines progress by trustees to improve their arrangements for life insurance in superannuation. These improvements respond to issues identified in ASIC’s public communications on life insurance in superannuation since 2019 and recent regulatory reforms.
REP 752 Review of written responses to superannuation complaints
Released 9 December 2022. This report summarises the findings from an evaluation conducted for ASIC by Susan Bell Research of 274 responses to general superannuation complaints issued by 10 trustees. It highlights the elements identified in the research as undermining the effectiveness of written responses to complaints and includes seven recommendations for how these responses can be improved.
Articles
September 2024 – ASIC Corporate Plan 2024-25: Superannuation focus areas
ASIC has released its Corporate Plan, which details strategic priorities for superannuation. ASIC Commissioner Simone Constant writes that now is the time for trustees to redouble their efforts to strengthen their member proposition and deliver on their commitments to help Australians prosper in retirement.
May 2024 – Improving superannuation member services — Dealing with death benefit claims
ASIC is calling on superannuation trustees to consider whether their arrangements for dealing with death benefit claims are fit for purpose, after an initial review identified areas for improvement in their public communications.
October 2023 – ASIC remains focused on improving superannuation outcomes for members
ASIC recently released its Corporate Plan for 2023–27, with a focus on FY 2023–24. Jane Eccleston - Senior Executive Leader, Superannuation and Life Insurance, details the regulator’s priorities in superannuation for the year ahead.
June 2023 – Improving superannuation outcomes for First Nations members
Ahead of the Indigenous Superannuation Summit in June, ASIC’s Superannuation Senior Executive Leader, Jane Eccleston reflects on ASIC’s Indigenous Financial Services Framework and the steps trustees should take to better meet their First Nations members’ needs.
May 2023 – Distributing super products through employers – what trustees need to know
Following a recent review of how trustees are engaging with employers as a channel for distributing super products, Superannuation Senior Executive Leader, Jane Eccleston reflects on whether trustees are meeting new requirements.
April 2023 – Turning negatives into positives: Handling complaints with a consumer-focus
With the right focus, trustees can leverage member complaints to make positive changes to their products and services and improve members' trust and confidence in their fund. ASIC’s Superannuation Senior Executive Leader, Jane Eccleston, reflects on areas trustees can work on to enhance their focus on members, following a recent review by ASIC.